1. What is the cost of equity?

2. What is the cost of debt?

c J K L M Historical Equity Risk Premium N OP Company Current Beta 0.69 I 1 Current Yields on U.S. Treasuries Today 2 3 mon 3.59% 36 mon 3.59% 4 1 year 3.59% 5 5 year 4.88% 6 10 year 4.39% 7 20 year 5.74% D E F G H Current Yield on Publicly Traded Company Debt Coupon 6.75% Annual Price 95.80 Year until Muturity 19 Face Value 100.00 Arithmetic Mean 7.50%