Question 2: Your company is asking you to consider your capital costs for your long-term investment projects as a CFO. As you collect the recent capital information as follows:

1. Your company issues the common shares of CND $100/share, 2 million shares outstanding; Your company. Beta is 1.7 and market risk-free rate is 2% at this moment, and the expected market return is 7%;

2. Your company issue the bond at the current quote of 970; Your coupon payment rate is 7%, while payment term is semi-annual; the bond tenor is 14 years; Your bond face value is 250 million;

3. Your company also issue some preferred stocks at CND $70/share, with a dividend payment of CND $7/share, the total amount of issue is 100 million; Your corporate tax rate is 27%;

Please calculate your companys WACC.