Tecknoking (TNK) Company wants to calculate the costs of each individual component in its capital structure. Common stock currently sells for $27, and is expected to pay a dividend of $0.50. TNK's dividend growth rate is 7.5%, and flotation cost is $1.15. Preferred stock sells for $46, pays a dividend of $4.00, and carries a flotation cost of $1.20. TNK Company bonds yield 9% in the market. TNK is in the 30% tax bracket. TNK has the following capital structure: 40% debt, 40% equity, and 20% preferred stock. TNKis in the process of evaluating if it should proceed with a project to offer a new product. You've been advised that the IRR for this proposed project is 7.9%, and the CEO of TNK wants your recommendation if the company should proceed with the project. Required: 1. In Excel, calculate cost of debt, cost of common stock, cost of new common stock, and cost of preferred stock. 2. In Excel, calculate TNK's weighted average cost of capital (WACC) assuming no new common shares are issued, using the answers obtained from Part 1. 3. Compare the WACC you calculated in Part 2 to the proposed project, and provide your recommendation in a sentence below your calculations.