The Welton Mfg Company of Provo has a balance sheet with the following capital structure: Common stock outstanding of 7,000 shares at a price of $90 per share, Preferred stock outstanding of 6,000 shares with a current price of $50 per share, and 500 bonds outstanding that mature in 30 years with a coupon rate of 7% paid semi-annually. The par value of each bond is $2,000 and sells at 106% of par. The pre-tax cost of debt is \%; the after tax cost of debt is d to the CEO that the relevant cost of debt to be used in computation of WACC is Note: the applicable tax rate is 22%. The Welton Mfg Company of Provo has a balance sheet with the following capital structure: Common stock outstanding of 7,000 shares at a price of $90 per share, Preferred stock outstanding of 6,000 shares with a current price of $50 per share, and 500 bonds outstanding that mature in 30 years with a coupon rate of 7% paid semi-annually. The par value of each bond is $2,000 and sells at 106% of par. The pre-tax cost of debt is %; the after tax cost of debt is \%. The CFO has explained to the CEO that the relevant cost of debt to be used in te is 22% SAVE THE COSTS FOR LATER QUESTIONS The Welton Mfg Company of Provo has a balance sheet with the following capital structure: Common stock outstanding of 7,000 shares at a price of $90 per share, Preferred stock outstanding of 6,000 shares with a current price of $50 per share, and 500 bonds outstanding that mature in 30 years with a coupon rate of 7% paid semi-annually. The par value of each bond is $2,000 and sells at 106% of par. The pre-tax cost of debt is \%; the after tax cost of debt is \%. The CFO has explained to the CEO that the relevant cost of debt to be used in computation of WACC is Note: the applicable tax