QUESTION 13 Now order the following based on the typical or most common relationship Where (1) is the lowest cost and (4) is the highest cost cost of common equity from new issuance (this is the most expensive) after-tax cost of debt (see for example stocks vs bonds currently: (picture link) the yellow line is generally below the blue line) cost of preferred stock (this is always higher than the after-tax cost of debt) cost of common equity from retained earnings (this has more risk than preferred stock)