For company X the following are true

Current stock price is 70 and 5000 stocks have been issued

current divident is 5 euro and its rate of growth is fixed and equal to 3% per year

the current value of the premium stock is 120 and there are 2000

the promised divident [perpetuity] per premium stock is 11 euros and has 2 euros issuance costs

*it is noted that the promised divident is 10% of the nominal value of the common stock

the number of bonds (zero coupon] that have been issued is 1000 with current cost before taxes 10% (yield to maturity] and the current value of the bond is 1100 euro

tax rate is 24%

1.By using the cost of capital model calculate WACC

Calculate the book value of the preferred stock