The company estimates that it can issue debt at a rate of rd=11%, and its tax rate is 25%. It can issue preferred stock that pays a constant dividend of $7.00 per year at $54.00 per share. Also, its common stock currently sells for $36.00 per share; the next expected dividend, D1, is $3.75; and the dividend is expected to grow at a constant rate of 5% per year. The target capital structure consists of 75% common stock, 15% debt, and 10% preferred stock. a. What is the cost of each of the capital components? Do not round intermediate calculations. Round your answers to two decimal places, Cost of debt: Cost of preferred stock: Cost of retained earnings: b. What is Adamson's WACC? Do not round intermediate calculations. Round your answer to two decimal places. \%o c. Only projects with expected returns that exceed WACC will be accepted. Which projects should Adamson accept