Skyo Computer Company: Balance Stweet as of December 31 (in thounande of doliars) Cumont assets Net fxed assets Total assets \begin{tabular}{|r|} \hline 2027 \\ \hline$1,400 \\ \hline 2,600 \\ \hline$4,000 \\ \hline \end{tabular} Accounth payabie and accruals Shortiem debt Long-term debl Prelemed stock. Common stock. Retained eamings Total common equity Total thablities and equily \begin{tabular}{|r|} \hline \\ \hline$900 \\ 200 \\ 900 \\ 300 \\ 825 \\ \hline 875 \\ \hline 51,700 \\ \hline 54,000 \\ \hline \hline \end{tabular} Last years eamings per shave \begin{tabular}{|lr} \hline Cument pice of comman stock, Pe & $3.75 \\ \hline Last yearh dividend on common stock, D6 & $2.00 \\ \hline \end{tabular} Growth mate of common dividend, 9 PS \begin{tabular}{|c|c|} \hline Flotution cost for common stock, F & 98 \\ \hline Common stock oustanding & 40,000 \\ \hline Curnent pice of prefermed slock. P, & $35.00 \\ \hline Dividend on prelened stock, 0 , & $3.05 \\ \hline Prelened stock outstanding & 10,000 \\ \hline Before-tax cost of debt, & 124 \\ \hline Market nisk premium, to - Des: & 45 \\ \hline \end{tabular} \begin{tabular}{|c|} \hline Risk-tee mate, by \\ \hline \end{tabular} \begin{tabular}{|l|l|} \hline Beta & 1.552 \\ \hline Tax male & 25% \\ \hline \end{tabular} Total debt $1,100 thousand a. Calculating the cost of each capilal component (using the DCF method to find the cost of common equity Ahertax cost of debt Cost of prefemed stock Cost of retained eamings Cost of new common stock b. Calculating the cost of common equily trom retained earnings, uning the CAPM method Cost of retained eamings c. Calculating the cast of new cornmon stock based on the CAPM Fotation cost adjustment Cost of new common slock. d. Calculating the firm's WACC assuming that (1) it uses only retained earnings for equity and R) If it expands so rapidly that it must issue new common stock Market value (in thousande) Welgtt Total debf Preferned stock: Common equily Total WACC, WACC