WACClong dashBook weights and market weightsWebster Company has compiled the information shown in the following table: LOADING....

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in order to copy the contents of the data table below into a spreadsheet.)

Source of capital	Book value		Market value		After-tax cost
Long-term debt	$4 comma 000 comma 0004,000,000		$3 comma 960 comma 0003,960,000		77%
Preferred stock	40 comma 00040,000		56 comma 00056,000		1212%
Common stock equity	1 comma 060 comma 0001,060,000		2 comma 735 comma 0002,735,000		1414%
Totals	Modifying $ 5 comma 100 comma 000 with double underline$5,100,000		Modifying $ 6 comma 751 comma 000 with double underline$6,751,000

a.Calculate the weighted average cost of capital using book value weights. b.Calculate the weighted average cost of capital using market value weights. c.Compare the answers obtained in parts a and b. Explain the differences. a.The firm's weighted average cost of capital using book value weights is nothing%. (Round to two decimal places.)