1. What is the weighted average cost of capital for a firm with the following characteristics: - D/E Ratio =5/7 - Kd=12.5% - Tc=25% - Rf=5.25% - Market Risk Premium =5.5% - e=1.33 2. For the same firm as in question 1 , what should be the discount rate for a project that they will finance through 60% Debt and 40% Equity