2. Robert Downey is the new finance manager in Avengers Corporation. The companies were considering expanding their business internationally. Currently the 9-month treasury bills are at 5.2 percent and the company risk premium is at 10 percent. The domestic beta is estimated at 1.2 while the international beta at 1.45. The company's capital structure comprises of 40 percent debts and the balance is equity. He also has gathered the other financial details as following: Assumptions Cost of debt, before tax Corporate income tax Return on market portfolio Domestic (%) 8 20 15.0 International (%) 12.5 30 18 Based on the information given, compute the Weighted Average Cost of Capital (WACC) for both domestic and international company. (10 marks)