For which capital component must you make a tax adjustment when calculating a firm's weighted average cost of capital (WAcc)? Debt Preferred stock Equity Westem Gas \& Electric Company. (WGC) can borrow funds at an interest rate of 7.30% for a period of seven years. Its marginal federal-plus-state tax rate is 45\%. WGC's after-tax cost of debt is (rounded to two decimal places). At the present time, Western Gas 8 Electric o 3.82% (WGC) has 10-year noncallable bonds with a face value of $1,000 that are outstanding. These bonds have a current market price of $1,495. 4.42% pnd, carry a coupon rate of 10%, and distribute annual coupon payments. The company incurs a federal-plus-state tax rate of 45%. If wGC w 4.02% jue new debt, what would be a reasonable estimate for its after-tax cost of debt (rounded to two decimal places)? 3.42% 2.59% 2.16% 1.94% 1.73% For which capital component must you make a tax adjustment when caiculating a firm's weighted average cost of captal (wacc)? Debt freferred stock Equity Westem Gas a Electric Company (WGC) can borrow funds at an interest rate of 7.30% for a period of seven years. Its marginal federal-plus-state tax rate is 45%. WGC's after-tax cost of debt is (rounded to two decimol places) At the present time, Westem Gas a Electric Company (WGC) has 10-year noncalable bonds with a face value of \$1,000 that are outstanding. These bonds have a current market price of \$1,495.56 per bond, carry a coupon rate of 10%, and distribute annual coupon payments. The company incurs a federal-plua-state tax rate of 45%. If wGC wants to issue new debt, what would be a reasonable estimate for its after-tax cost of debe (rounded to two decimal plsces)? 2.59% 2.16% 1.94% 1.73%