FINAL ANSWER ONLY

Javed Ali LLC is a toy manufacturing company. The management of the company is planning to invest through expansion program. For this purpose, it is seeking some information related to cost of capital. Given below information relates to the company's capital structure and cost of capital: Capital structure of Javed Ali LLC In AED Thousand Equity 26,160 Debt 10,900 Preferred stocks 6,540 The company's management provided some additional information: Bond coupon rate 0.11 0.09 Bond yield to maturity Expected dividend on equity (per share) Dividend on Preferred stocks (per share) AED2.50 AED 10.2 Market price of equity (per share) AED22.75 Market price of preferred stocks (per share) AED97.00 AED6.50 Floatation cost on preferred stocks (per share) Growth rate 0.07 Corporate tax rate 0.1 Calculate Cost of Preferred Stock ANSWER FORMAT 123.456