1. The capital structure for the Daun Kering Berhad (DKB) is provided here. You as the financial manager of this firm would like to maintain its debt structure in the future. If the firm has a 5.5 per cent after-tax cost of debt, a 11.5 per cent cost of preferred stock, and a 15 per cent cost of common stock, what is the Weighted Average Cost of Capital (WACC) for DKB?

Capital Structure (RM'OOO)
Borrowin s	10,000
Preferred Stocks	3,000
Common Stocks	40,000
Total	53,000

Show your working in calculating WACC.