NjQ1NjRa/a/MTM1MzczMjMwODM5/details weighted average cost of capital (WACC). Assume the company's tax rate is 35 percent. Debt 4,000 7 percent coupon bonds outstanding, RM1,000 par value, 20 years to maturity, selling for 105 percent of par; the bonds make semiannual payments. Common stock 90,000 shares outstanding, selling for RM60 per share the beta is 1.10. Preferred Stock 13,000 shares of 6 percent preferred stock outstanding currently selling for RM110 per share. I Market 14 percent expected return and T Bill yielding 6 percent. Required i. What is the company's after-tax cost of debt? (7 marks) What is the company's cost of common equity? (4 marks) Continued... ZS 3/7