Nipigon Manufacturing has a cost of debt of 9 %, a cost of equity of 13%, and a cost of preferred stock of 10%. Nipigon currently has 100,000 shares of common stock outstanding at a market price of $25 per share. There are 49,000 shares of preferred stock outstanding at a market price of $40 a share. The bond issue has a face value of $800,000 and a market quote of 106. The companys tax rate is 40%.