David wants to raise $4.2 million for a new line of business. Return on investment is 13% and growth rate is 3%. Sources of funding are listed as follows. The cost of capital sources are in brackets. Payment of dividends, issue and floatation costs are included in the figures. Bond A: 700,000 (15%) Bond B:500,000 (13%) Common Shares: 2,000,000 (20%) Preferred Shares: 500,000 (16%) Retained Earnings: 500,000 (18%) Total: 4,200,000 Tax Rate is 40% What is the after tax Cost of Capital for Bond A