What is the cost of retained earnings for Foggy Futures Weather Forecasters? The firm is in the 40% tax bracket. The optimal capital structure is listed below: 
Definitions:
Efficiency
The extent to which resources are used optimally to achieve the desired outputs with minimum waste or effort.
Production Possibilities Frontier
A curve depicting all maximum output possibilities for two goods, given a set of inputs consisting of resources and other factors.
Marginal Cost
The cost incurred by producing one additional unit of a product.
Concave
A shape or curve that is curved inward, resembling the interior of a circle or sphere.
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