i need help with section b and c

(Weighted average cost of capital) As a member of the Finance Department of Ranch Manufacturing, your supervisor has asked you to compute the appropriate discount rate to use when evaluating the purchase of now packaging equipment for the plant Under the assumption that the firm's present capital structure retlects the appropriate mix of capital sources for the firm, you have detormined the market value of the firm's capital structure as follows: To finance the purchase, Ranch Manufacturing will sell 10-year bonds paying intorost at a rate of 6.8 percent per year (with semiannual payment) at the market price of $1,052. Preferred stock paying a $2.06 dividend can be sold for $25.98. Common stock for Ranch Manulacturing is currently selling for $55.39 per share and the firm paid a $2.97 dividend last year. Dividends are expected to continue growing at a rate of 4.6 percent por year into the indefinite future. If the firm's tax rate is 30 percent, What discount rate should you use to evaluate the ocuipment purchaso? The weight of prefered stock in the firms capital structure is 19.84%. (Round to two decimal places.) The weight of common slock in the firm's capital structure is 46.82%. (Round to two decimal places) b. Calculate component costs of capital The aftertax cost of debt for the firm is \%. (Round to two docimal places.) (Weighted average cost of capital) As a member of the Finance Department of Ranch Manufacturing, your supervisor has asked you to compute the appropriafe discount rato to uso when evaluating the purchase of rew packaging equipment for the plant. Under the assumption that the firm's present captal structure reflects the appropriate mix of capital sources for the firm, you have determined the market value of the firm's capital structure as follows: Fo finance the purchase. Ranch Manufactunng wil soll 10-year bonds paying interest at a rate of 6.8 percent per year (with semiannual payment) at the market price of $1,052. Preferred stock paying a $2.06 dividernd can bo sold for $25.98. Common stock for Ranch Manufacturing is currently selling for $55.39 per share and the firm paid a $297 dividend last yoar. Dividends ore expected to continue growing at a rate of 4.6 percent per year into the indefinite future. If the firm's tax rate is 30 percont, what discount rale should you use to evaluale the oquipment purchaso? The weinht of crolerred stock in the firmis capeal structure is 19.84%. (Round to two docinal plices ) The woight of commion stock in the fims captal structure is 4682%. (Round to two decirnal places.) b. Calculate component costs of capiat: The ative-tax cont of debt for the firm is R. (Round to two docimal places ) \begin{tabular}{|l|l|} \hline Source of Capital & Market Values \\ \hline Bonds & $4,200,000 \\ Preferred stock & $2,500,000 \\ Common stock & $5,900,000 \\ \hline (Click on the icon. . jo order to copyits contents into a spreadsbeot) \\ \hline \end{tabular} b. Calculate component costs of capital. The after-tax cost of debt for the firm is \%. (Round to two decimal places.) The cost of preferred stock for the firm is \% (Round to two decimat places.) The cost of common equity for the firm is \%. (Round to two decimal places.) c. Calculate the firm's weighted average cost of capital. The discount rate you shouid use to evaluate the equipment purchase is \%. (Round to three decimal places.) 1. Data Table