1.)Weighted average cost of capitalThe target capital structure for QM industries is 40% common stock,5% preferred stock and 55% debt. If the cost of common equity forthe firm is 17.8%, the cost of preferred stock is 9.1% the beforetax cost of debt is 8.6 and the frims tax rate is 35%, what is QMsweighted average cost of capitalQMs WACC is _____$ Round to three decimal places2.) Crypton Electronics has a capital structure consisting of 36%common stock and 64% debt. A debt issue of 1,000 par value, 5.6%bonds that mature in 15 years and pay annual interest will sell for971$. Common stock of the firm is currently selling for 29.38 pershare and the firm expects to pay $2.32 dividends next year.Dividends have grown at the rate of 5.1 per year and are expectedto continue to do so for the foreseeable future. What is cryptonscost of capital where the firms tax rate is 30%
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