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PLEASE ANSWER ALL PARTS!! You recently went to work for CTC Components Company, a supplier of auto repair parts used in the after-market with products

PLEASE ANSWER ALL PARTS!!
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You recently went to work for CTC Components Company, a supplier of auto repair parts used in the after-market with products from Daimler AG, Ford, Toyota, and other automakers. Your boss, the chief financial officer (CFO), has just handed you the estimated cash flows of a proposed project Cost of the project: $300,000 Year After-tax Cash flow 1 $70,000 2 $70,000 3 $70,000 $70,000 5 $70,000 4 CTC's assets are $750 million, financed through bank loans, bonds, preferred stocks, and common stocks. The tax rate is 40 percent. The amounts are as follows: Bank loans: $ 100 million borrowed at 4% Bonds: $280 million, paying 5% coupon with semi-annual payments, and maturity of 10 years. CTC sold its $1,000 par-value bonds for $1070 and had to incur a $70 flotation cost per bond. Preferred Stocks: $120 million, paying S15 dividends per share. CTC sold its preferred shares for $170 and had to incur $20/share flotation cost. Common Stocks: $250 million, beta is 2, the risk-free rate is 2 percent, and the market rate is 6%. a) What is the after-tax cost of the loans? b) What is the after-tax cost of the bonds? c) What is the after-tax cost of the preferred stocks? d) What is the after-tax cost of the common stocks? e) Calculate the cost of capital. Please show your work precisely by indicating each component and weight. f) Calculate the NPV, IRR, and payback period of the project. Use the cost of capital you found in "e" when calculating the NPV and IRR. Should you accept or reject the project? Why

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