Use the following data for the next 5 questions: Debt 41,000 bonds with a 5.0% coupon rate, payable annually, 15 years to maturity, selling at $1,050 per bond. Common Stock 698,000 shares of common stock outstanding. The stock sells for a price of $68 per share and has a beta of 0.64. Preferred Stock 271,000 preferred shares outstanding, currently trading at $102.35 per share; with an annual dividend payment of $6.47 Market The market risk premium is 20% and the risk free rate is 6% Tax Rate 30% What is the before tax cost of debt (R.)? (Answer as a percentage and round to 2 decimals) Select one: a. 7.44% b.2.49% C. 4.53% d. 8.02% e. 1.21% Use the following data for the next 5 questions: Debt 41,000 bonds with a 5.0% coupon rate, payable annually, 15 years to maturity, selling at $1,050 per bond. Common Stock 698,000 shares of common stock outstanding. The stock sells for a price of $68 per share and has a beta of 0.64. Preferred Stock 271,000 preferred shares outstanding, currently trading at $102.35 per share; with an annual dividend payment of $6.47 Market The market risk premium is 20% and the risk free rate is 6% Tax Rate 30% What is the after tax cost of debt (Ra)? (Answer as a percentage and round to 2 decimals Select one: a. 6.08 % b. 6.66% c. 3.17 % d. -0.15% e. 1.13 % Use the following data for the next 5 questions: Debt 41,000 bonds with a 5.0% coupon rate, payable annually, 15 years to maturity, selling at $1,050 per bond. Common Stock 698,000 shares of common stock outstanding. The stock sells for a price of $68 per share and has a beta of 0.64. Preferred Stock 271,000 preferred shares outstanding, currently trading at $102.35 per share; with an annual dividend payment of $6.47 Market The market risk premium is 20% and the risk free rate is 6% Tax Rate 30% What is the cost of preferred stock (Rp)? (Answer as a percentage and round to 2 decimals) Select one: a. 9.23% b. 9.81% c. 4.28 % d. 3.00 % e. 6.32%