Calculation of individual costs and WACC Dalon Labs has asked its financial manager to measure the cost of each specific type of capital as wel as the weighted average cost of captal. The weighted average cost is to be measured by using the following weights 35% long term debt, 25% preterred stock, and 40% common stock equity (retained earningn. new common stock, or both) The firmis tax rate in 22% Debt The firm can sell for $1015 a 17-year, $1,000-par-yalue bond paying annual interest at a 12.00% coupon rafe. A flotation cost of 3% of the par value is required Preterred stock 7.00% (annual dividend) preferred stock having a par value of $100 can be sold for 598 . An additional fee of 56 per share must be paid to the underwriters. Common stock The firmis coenmon steck is currently selling for 560 por share The stock has paid a dividend that has gradually increased for many years, rising trom 52.75 ten years ago to the $407 dividend payment, D0, that the company just recently made If the company wants to issue new new common stock, it will sel them $2. 00 below the current maked price to attract irvestors, and the company will pay 53.50 per shate in flotabion costs. a. Calculate the after-tax cost of debt b. Calculate the cost of prelected stock c. Calculate the cost of coenmon stock (both retained eamings and new cornmon stock). d. Calculate the WACC for Dillon Labs