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Time left 0:43:45 The ABC Corporation has the following capital structure: Assets 22.20 Billion Debt 7.45Billion Preferred 4.25Billion Common 10.50Billion The ABC Corp. is in

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Time left 0:43:45 The ABC Corporation has the following capital structure: Assets 22.20 Billion Debt 7.45Billion Preferred 4.25Billion Common 10.50Billion The ABC Corp. is in the 39% tax bracket and the interest on debt is 8.98 percent annually. Their preferred stock is currently selling at $351.00 and pays out dividends of $19.33 per share. The Common Stock is selling for $157 25 per share paying dividends of $.64 per share with an annual growth rate of 5 percent (Take all answers out to the second decimal place) a. What is the after - tax cost of debt? 96 (4 pts) b. What is the cost of preferred stock? 96 (4 pts) c. What is the cost of the common stock? % (4 pts) ATIU a. What is the after Tax cost order? (4 pts) Time left 0:43.3 b. What is the cost of preferred stock? % (4 pts) c. What is the cost of the common stock? % (4 pts) d. What is the firms WACC? % (4 pts) e. Which of the three capital structures has the highest cost? a (4 pts)

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