International foods Itd. has the following capital structure: Book value Market value 4,50,000 Equity capital (25000 2,50,000 shares of Rs 10 each) 45,000 13% Preference capital 50,000 (500 shares of Rs 100 each) Reserves and surplus 1,50,000 12% Debentures (1500 of 1,50,000 Rs 100 each) 1,45,000 The expected DPS is Rs 1.40 and the DPS is expected to grow @ 8% forever. Preference shares are redeemable after 5 years at par whereas debentures are redeemable after 6 years at par. The tax rate for the company is 40%. You are required to compute WACC for existing capital structure using book value weights and market value weights