Hamid Bhd needs to raise funding of RM3,000,000. He may raise through debt funding which will cost the company 7% or Via issuing common stock at a cost of 10%. If the company's average tax rate is at 30%, what is the after-tax cost of each of them ?
a. debt: $147,000; common stock: $300,000
b. debt: $147,000; common stock: $210,000
c. debt: $210,000; common stock: $210,000
d. debt:$210,000; common stock: $300,000
Please help fast . urgent