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Viduka Construction's CFO wants to estimate the company's WACC. She has collected the following information: The company currently has 20-year bonds outstanding. The bonds have

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Viduka Construction's CFO wants to estimate the company's WACC. She has collected the following information: The company currently has 20-year bonds outstanding. The bonds have a 8.5 percent annual coupon, a face value of $1,000, and they currently sell for $1065. The company's stock has a beta = 1.35. The market risk premium, r_m- R_RF, equals 5.5 percent. The risk-free rate is 4.5 percent. The company has outstanding preferred stock that pays a $2.00 annual dividend. The preferred stock sells for $32 a share. The company's tax rate is 40 percent. The company's capital structure consists of 30 percent long-term debt, 50 percent common stock, and 20 percent preferred stock. Refer to Viduka Construction. What is the company's after-tax cost of debt? Refer to Viduka Construction. What is the company's after-tax cost of preferred stock

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