(Individual or component costs of capital) Compute the cost of the following: a. A bond that has $1,000 par value (face value) and a contract or coupon interest rate of 12 percent. A new issue would have a floatation cost of 7 percent of the $1,115 market value. The bonds mature in 9 years. The firm's average tax rate is 30 percent and its marginal tax rate is 23 percent. b. A new common stock issue that paid a $1.60 dividend last year. The par value of the stock is $15, and earnings per share have grown at a rate of 8 percent per year. This growth rate is expected to continue into the foreseeable future. The company maintains a constant dividend-earnings ratio of 30 percent. The price of this stock is now $23, but 6 percent flotation costs are anticipated. c. Internal common equity when the current market price of the common stock is $49. The expected dividend this coming year should be $3.30, increasing thereafter at an annual growth rate of 8 percent. The corporation's tax rate is 23 percent. d. A preferred stock paying a dividend of 12 percent on a $150 par value. If a new issue is offered, flotation costs will be 14 percent of the current price of $172. e. A bond selling to yield 9 percent after flotation costs, but before adjusting for the marginal corporate tax rate of 23 percent. In other words, 9 percent is the rate that equates the net proceeds from the bond with the present value of the future cash flows (principal and interest). a. What is the firm's after-tax cost of debt on the bond? % (Round to two decimal places.) b. What is the cost of external common equity? % (Round to two decimal places.) c. What is the cost of internal common equity? % (Round to two decimal places.) d. What is the cost of capital for the preferred stock? % (Round to two decimal places.) e. What is the after-tax cost of debt on the bond