Excel Online Activity: WACC Estimation Question 1 3.33/10 Submit Excel Online Structured Activity: WACC Estimation considered to be optimal. Assume that there is no short-term debt. expected constant growth rate of 8%. (The next expected dividend is $1.20, so $1.20/$30=4%.) The marginal corporate tax rate is 30%. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the question below. Open spreadsheet answer to the nearest dollar. Do not round intermediate calculations. $ intermediate calculations. % c. Suppose now that there is not enough internal cash flow and the firm must issue new shares of stock. Qualitatively speaking, what will happen to the WACC? I. rS and the WACC will not be affected by flotation costs of new equity. II. rs and the WACC will increase due to the flotation costs of new equity. III. rs and the WACC will decrease due to the flotation costs of new equity. IV. rS will increase and the WACC will decrease due to the flotation costs of new equity. v. rS will decrease and the WACC will increase due to the flotation costs of new equity