(b) Calculate the overall cost of capital of Sushant Ltd. from the information given below using book value weights and market value weights: Equity Shares of 10 each 12% Preference Shares of 100 each (Redeemable at par after 10 years) 11% Debentures of 100 each (Redeemable at par after 5 years) Reserves Book Value (3) 4,00,000 1,00,000 2,50,000 1,00,000 Market Value 6,40,000 75,000 2,25,000 Last year the company paid a dividend of 2.20 per share. It is expected to declare a dividend of 2.42 per share. The company has been maintaining the growth rate in dividends over the years and is expected to do so in the future. The tax rate is 40%.