Scanlon Inc. wants to estimate the cost of capital. Following data has been provided: The company issued a dividend of $1.25 with its stock currently selling for $27.50 which is expected to grow at a constant rate of 5.00%. New stock issues would have a floatation cost of 6.00% of the share proceeds. The company has perpetual preferred stock that sells for $97.50 per share, and it pays an $8.50 annual dividend. the yields on bonds are 9% the tax rate is at 30% the company has retained earnings, common equity, preference equity and debt in its capital structure with weights of 10%, 50%, 15% and 25% respectively. (a) Find cost of common equity. (2 (b) Findthe Cost of debt (1.5 marks) (c) Find the cost of preferred stock (1.5 marks)