CBUS 341-Business Finance Dr. Wanda Lee Owens Spring 2019 Cost of Capital Problem Johnson Industries finances its projects with 25 percent debt, 15 percent preferred stock and 60 percent common stock. . The company can issue bonds at a yield to maturity of 8.2 percent. . The company pays a dividend on preferred stock of $7.82. " The risk-free rate is 6.25 percent . The required return on the market is 13.25 percent Johnson's Industries' beta is 1.25 . Preferred stock is currently selling for $68.00. . The company's tax rate is 40 percent. Based upon the information provided above compute the following: The after tax cost of Debt. The cost of Preferred Stock. The cost of Common Ttock. The weighted average cost of capital