The capital employed by HiFly Limited at $31$ December $2023$ is as follows:

$$ R million

Ordinary shareholders $140$

Preference shares $56$

$$ Debentures $(13\%)84$

$280$

$$

The marginal tax rate for the company is $30\%.$

The company expects its growth in earnings of $12\%$ will continue in the medium term and will maintain its policy of distributing $25\%$ of its after$-$tax earnings as dividends. The dividend declared for $2023$ was R$1\mathrm{.}50$ per share.

The following terms and conditions will apply for new funds made available to the company:

$$

$$ DEBT

The market related interest rate for similar debentures is $18\%.$

$$ PREFERENCE SHARES

Current yield on similar preference shares is $18\%..$Flotation costs will be negligible.

$$ ORDINARY SHARES

The company$$s current market price is R$30,00$ with flotation costs being $10\%$ of the market price. $($The company $$has $5$ million ordinary shares of in issue.$)$

$$

You are required to:

$$

$2\mathrm{.}1$ Calculate the various weighted average cost of capital based on original cost

and current cost using both book value and market value for capital employed.