Landman Corporation (LC) manufactures time series photographic equipment. It is currently at its target debt-equity ratio of .65. Its considering building a new $74 million manufacturing facility. This new plant is expected to generate aftertax cash flows of $8.9 million in perpetuity. The company raises all equity from outside financing. There are three financing options: 1. A new issue of common stock: The flotation costs of the new common stock would be 6.5 percent of the amount raised. The required return on the companys new equity is 14 percent. 2. A new issue of 20-year bonds: The flotation costs of the new bonds would be 2.8 percent of the proceeds. If the