QUESTION 2 Read Section 10-2 Basic Definitions in the Textbook and match each of the terms below ra(1-T) A. After tax cost of debt rd rp B. The average cost of raising new funds based on the target amount of each funding source and the cost of each funding source- it is the overall cost of capital C. cost of preferred stock D. before tax cost of debt v re rcs rs v Wa Wp We V WACC E. cost of common stock (your book differentiated between cost of common equity that is external or that comes from retained earnings and has changed notation over the past 5 years, when you see any of these you should solve for the cost of equity) F. These represent the percentage of each financing type and composes the "target capital structure