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9 Starset, Incorporated, has a target debt-equity ratio of 0.88. Its WACC is 11.5 percent, and the tax rate is 32 percent. If the company's cost of equity is 14.5 percent, what is the pretax cost of debt? Cost of debt 10 points If instead you know that the aftertax cost of debt is 7.5 percent, what is the cost of equity? Cost of equity