Suppose the Williamson Company has this book value balance sheet: Assets: Current assets Fixed assets $ $ 45,000 75,000 Debt: Notes payable $ 0 Long-term debt $ 42,000 Total Debt $ 42.000 Equity: Preferred Stock s 6.000 Common stock $ 72.000 Total debt and equity $ 120,000 Total Assets S 120.000 Williamson Company uses three sources of capital: long-term debt, preferred stock, and common stock All debt consists of long-term bonds, each of which has a price of $1,120, carries an annual coupon interest rate of 6 percent, and matures in 20 years. The common stock sells at a price of $30 per share and is expected to pay a dividend of $1.50 by year-end and are expected to grow at a constant 7%. The preferred stock sells for $130 and pays a $10 dividend in perpetuity. Corporate tax rate is 40%. Using book weights and all three sources of capital for computing the WACC, what weights are appropriate for debt, preferred stock, and common stock respectively? 35%, 5%, 60% 30%, 15%, 55% 40%, 10%, 50% 24%, 6%, 72% Question 2 (1 point) Saved What is the after-tax cost of debt