XYZ Ltd. had the following capital structure as at 31st March 2014, which is considered to be optimum. Amount (Rs.) 16% Debentures 11% Preference Shares Equity (100,000 shares) 300,000 100,000 1,600,000 2,000,000 The company's equity share has a current market price of 23.40 per share. The expected dividend per share next year is 50% of the 2014 Earning Per Share (EPS). The following are the EPS figures for the company during the preceding five years. The past trends are expected to continue. Growth can be based on the earnings growth (i.e.EPS) rate. 2010 Year EPS 2011 1.76 2012 1.94 2013 2.13 2014 2.34 1.60 The company's debenture is currently selling at Rs. 96/-. The preference shares can be sold at a net price of Rs. 9.20. The company's marginal tax rate is 40%. You are required to compute the following. a) After tax cost of debt. (02 Marks) b) Cost of preference capital (02 Marks) c) Cost of equity capital (05 Marks) d) Weighted average cost of capital (03 Marks)