1.HoolahanCorporation's common stock has a beta of 1.19. Assume the risk-free rate is 5.4 percent and the expected return on the market is 12.9 percent.What is the company's cost of equity capital?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimalplaces, e.g., 32.16.)

2.ICU Window, Inc., is trying to determine its cost of debt. The firm has a debt issue outstanding with 10 years to maturity that is quoted at 107.5 percent of face value. The issue makes semiannual payments and has an embedded cost of 6.8 percent annually.

a.What is the company's pretax cost of debt?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimalplaces, e.g., 32.16.)

b.If the tax rate is 25 percent, what is the aftertax cost of debt?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimalplaces, e.g., 32.16.)

3.Baron Corporation has a target capital structure of 75 percent common stock, 10 percent preferred stock, and 15 percent debt. Its cost of equity is 9 percent, the cost of preferred stock is 5 percent, and the pretax cost of debt is 6 percent. The relevant tax rate is 21 percent.

a.What is the company's WACC?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

b.What is the aftertax cost of debt?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)