Southern Alliance Company needs to raise $28 million to start a new project and will raise the money by selling new bonds. The company will generate no internal equity for the foreseeable future. The company has a target capital structure of 70 percent common stock, 8 percent preferred stock, and 22 percent debt. Flotation costs for issuing new common stock are 14 percent, for new preferred stock, 5 percent, and for new debt, 3 percent.

Required: What is the true initial cost figure Southern should use when evaluating its project? (Do not include the dollar sign ($). Do not round the weighted average floatation cost. Round your answer to the nearest whole dollar amount. (e.g., 1,234,567)) True initial cost $_______.