3. Lonestar Inc.'s capital structure consists of 80% debt and 20% common equity, its beta is 1.60, before tax cost of debt is currently at 10%, and its tax rate is 40%. However, the CFO thinks the company has too much debt, and she is considering moving to a capital structure with 10% debt and 90% equity with before tax cost of debt 3%. The risk-free rate is 5.0% and the market risk premium is 8%. By how much would the weighted average cost of capital change due to this shift in Lonestar capital structure?