2 years ago Mickey's Mouse Emporium issued a bond with 10 years to maturity. The bond pays an annual coupon of 6 percent. The bond currently sells for 95 percent of its face value and has a yield to maturity of 6.82%. The companys tax rate is 40 percent. The book value of the debt issue is $55 million. 2 55000000 In addition, Mickey's Mouse Emporium issued a zero coupon bond that yields 4.03% with 15 years left to maturity; the book value of this bond issue is $30 million, and the bonds sell for 55 percent of par.

What is the company's (after-tax) cost of debt based on the debts' market value? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Cost of debt %=?