Weighted Average Cost of Capital and Breakpoints in WACC Lata Bhd pay corporation tax at 25%. It has the following capital structure: Ordinary shares: 10,000,000 ordinary shares of nominal value 50 sen per share. The market value of the shares is RM1.20 per share. A dividend of 28 sen per share has just been paid and dividends are expected to grow by 8% per annum for the foreseeable future. Preference shares: 800,000 preference shares of nominal value RM1.00 per share. The market value of the share is RM0.90 per share. The annual net dividend of 8% has just been paid. Bond: 20,000 of 5-years bond with a market value of RM95 per RM100 par value. These bonds have a coupon rate of 10% and the annual interest payment has just been made. a) Calculate the market and book value weighted average after-tax cost of capital of Lata Bhd