drop down- 12.05%, 8.76%, 12.59%, 10.95%

drop down- 16.75%, 16.05%, 13.96%, 13.26%

cost of preferred stock is 9.3%, If Turnbull can raise all of its equity capitai from retained earnings; its cost of common equity will be 12.4%. However, if it is hecessary to raise new coenmon equaty, it will carty a cost of 142% If its current tax rate is 40%, how much higher will Turnbill's weighted average cost of capital (WACC) be If it has lo rakse additional common equity capital by issulng new common stock instead of raising the funds through retained earnings? (Note: Rownd your intermediate calculations fo fue) decimal placesi) 0.834a 0.70% O. BOW 064% Turnbuil Co. is considering a profect that regures an initial investment of $270,000. The firm wall ra-se the $770,000 in capital by issuing $100,000 of debt at a before-pak oost of 10:2%,530,000 of prefered stock at a cost of 11.4%, and $140,000 of equaty at a cost of 14.7%. The firm facesa tax rate of 4004 . What will be the WAcC for this peolect? (Wote: Round your intermediate calcutations fo three decimal places.) Kuhn Co. is consinfering a new profect that will requlre an inital investment of $20 milloa. It has a tarpet capital structure of 45% debt, 4% seferred stock, and 51% common equaly. Kuhn has noncallable bonds outstanding that mature in five years with a face valiat of $1,000, an annual coupen rate of 10%, and a market price of $1,050.76. The yield on the company's current bonds is a good appoximation of the yield on any new bonds that it 1ssues. The company can sell shares of preferred stock that pay an annual dlvidend of $9 at a price of $95.70 per share. Kuhn does not have any retalned earnings available to finance this project, so then firm will have to issie new common stock to help fund it. its? coenmon stodk is currentfy selling for 422.35 per share, and it is expected to pay a dividend of $2.78 at the end of next year. flotation costs will rate of 40 . What will be the WMcc for this brofect? (Woter Round yoin intermediate calculaticins to (wo decimal places)