Please Complete parts A and B of problem #2

2A) Homemade Flying Machines has a capital structure of 20% debt, 10% preferred stock and 70% common stock. The pre-tax cost of debt is 5.6%, the cost of preferred stock is 8% and the cost of equity is 14%. The firm's marginal tax rate is 21%. What is the company's weighted average cost of capital?

2B) Jackson Holding has just paid an annual dividend of $0.45 per share. Analysts expect the firm's dividends to grow by 4% forever. Its stock price is $36.5. What is the cost of equity from retained earnings?