11) If it were unlevered, the overall firm beta for Wild Widgets Inc. (WWI) would be 1.7. WWI has a target debt/equity ratio of 1. The expected return on the market is 0.08, and Treasury bills are currently selling to yield 0.06. WWI one-year bonds (with a face value of $1,000) carry an annual coupon of 3% and are selling for $930.16. The corporate tax rate is 38%.

a.	WWIs before-tax cost of debt is _____%.
b.	WWIs cost of equity is _____%.
c.	WWIs weighted average cost of capital is _____%.