Pandemic in year 2020 however, has affected the sales of MIMALAND Theme Park Berhad very badly. In the middle 2020, MIMALAND was getting loan financing from a bank for RM1.3 million to cover up the services and maintenance cost. Estimated annual total cost of services and maintenances for year 2020 to 2021 is RM2 million.

(i) MIMALAND is not planning to top-up any liabilities to the company. Discuss option(s) of financing for the company to raise some capital for covering up their services and maintenances cost during the pandemic.

(ii) Based on total equity financing, determine the cost capital fraction for 2020 to 2021.