Your boss believes the company's power plant is producing toomuch air pollution on a typical island. Your boss gives you threechoices for dealing with this problem because he/she does not wantto deal with it: You can pay a pollution tax (Carbon Offsets) onetime of $13,000,000 immediately. You can close the plant andinstall a power cable from the mainland to the Island. That willcost you $1,000,000 at the end of this year, $3,000,000 at the endof next year and then $750,000 forever for maintenance. You canretrofit the plant with scrubbers to reduce the emissions to makethe plant green. That will cost $7.5m at the end of this year and$100,000 for 50-years for maintenance. Assume that the cost ofgenerating power on the mainland is approximately the same as thecost of generating power at the Island's plant. Assume, this comesas a surprise to you and you, have not saved any money in reserves,and you need to raise capital. Additional information is thatmarket has a 12 percent market risk premium on the power plant withthe risk-free rate being 5 percent with a company tax rate of 35percent. Current total raised capital at the power plant: (Thiswill help you calculate the WACC) Debt – 7,000 outstanding bonds,at 7.5% coupon and 20 years to maturity. These bonds pay interestsemiannually and quoted a price of 108 percent of par. Common Stock-180,000 shares outstanding, selling for $50 per share: Beta .90.Preferred Stock – 8,000 shares of 5.5 percent preferred stockoutstanding, currently selling for $95.00 per share. Please answerin essay format and provide your Excel document showing all yourcalculation in appendixes choose the best option for Island.Support your answer with your calculations. Also, to calculationsuse specified resources, other appropriate scholarly resources,including older articles. Length: However long you need to answerthe question

plz answer in essay form thank you