Cost of Preferred Stock with Flotation Costs Burnwood Tech plans to issue some $70 par preferred stock with a 6% dividend. A similar stock is selling on the market for $85. Burnwood must pay flotation costs of 7% of the issue price. What is the cost of the preferred stock? Round your answer to two decimal places. (3) % Cost of Equity: Dividend Growth Summerdahl Resort's common stock is currently trading at $37 a share. The stock is expected to pay a dividend of $1.25 a share at the end the year (D1=$1.25), and the dividend is expected to grow at a constant rate of 6% a year. What is the cost of common equity? Round your answer to two decimal places. % Booher Book Stores has a beta of 0.9. The yield on a 3-month T-bill is 5% and the yield on a 10 -year T-bond is 8%. The market risk 6.5%, and the return on an average stock in the market last year was 13%. What is the estimated cost of common equity using the CAPM? Round your answer to two decimal places. (3 % Shi Import-Export's balance sheet shows $300 million in debt, $50 million in preferred stock, and $250 million in total common equity. Shi's tax rate is 25%,rd=6%,rps=6.1%, and rs=10%. If Shi has a target capital structure of 30% debt, 5% preferred stock, and 65% common stock, what is its WACC? Round your answer to two decimal places. %