The Lolly Lordan Company has the following capital structure that it considers optimal: Debt = 40% Preferred Stock = 10% Common Stock = 50% The firm plans to spend $100,000,000 on new capital projects. The firm has one bond issue outstanding with 10 years to maturity, semiannual payments, coupon rate of 8%, face value of $1,000 per bond and a current price of $1,100. The firm's marginal tax rate is 40%. Preferred stock can be sold with a dividend of $2.75, a par value of $25.00, and a floatation cost of $2.00 per share. Common stock is presently selling at $35.00 per share and new shares can be issued with a $3.00 per share floatation cost. The last dividend paid was $4.00 and the firm expects to grow at a rate of 4% in the foreseeable future. Calculate the firm's net cost of debt. a. 1.99% b.4.80% CC: 3.97% cd.6.62% e. None of these are correct Calculate the firm's net cost of preferred stock. a. 11.96% b.7.17% CC. 11.00% C d. 10.19% e. None of these are correct Calculate the firm's net cost of common stock. 15.89% 16.50% 15.43% 17.00% None of these are correct