Gold Diggers Inc, has 350,000 shares of common stock, currently trading at $26/share. The common stock of Gold Diggers, Inc is expected to generate a dividend of $2.00/share next year, and it has a Beta calculated at 1.2 it also has 100,000 shares of preferred stock, trading at $50/shares. The preferred stock pays dividend of 7%. Finally, Gold Diggers, inc has 300,000 bounds currently trading at 960$/bond. The coupon rate is is 5% and the bonds will mature in 8 years. Gold Diggers, inc expects its dividends to grow at a rate of 6%/year and it is in a 34% tax bracket, it estimates that the risk free rate of return is 3% and the market rate of return is 7%. Calculate the WACC for Gold diggers inc be sure to show all your work when calculating the cost of equity compute the cost using CAPM method and the DCF and average the two