(Individual or component costs of capital) Compute the cost of the following: its marginal tax rate is 25 percent. maintains a constant dividend-earnings ratio of 30 percent. The price of this stock is now $26, but 8 percent flotation costs are anticipated. d. A preferred stock paying a dividend of 9 percent on a $130 par value. If a new issue is offered, flotation costs will be 11 percent of the current price of $163. 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? ' (Round to two decimal places.)