A) Consider an ideal Modigliagni-Miller setting (i.e., perfect financial market, no bankrupt costs, no taxes). Suppose the return on assets is 11%. The cost of debt is 5%. The share of debt in capital is 22%. The return on equity is _____% (please remember to enter your answer as a percentage point).

B) Consider an ideal Modigliagni-Miller setting (i.e., perfect financial market, no bankrupt costs, no taxes). Suppose the return on assets is 12%. The cost of debt is 6%. The share of debt in capital is 31%. The premium for financial risk is _____% for equity. (please remember to enter your answer as a percentage point).