A Tech company is currently exploring opportunities to venture into new projects and expand its business operations. However, the company is facing a challenge in determining its marginal cost of capital. The cost of equity, which represents the expected return demanded by investors, is set at $18\%.$ Additionally, the cost of debt, based on bond yields similar to Tesco PLC$\text{'}$s$,$ has been established. The company has identified a target capital structure consisting of $40\%$ debt and $60\%$ equity. With a corporate tax rate of $20\%,$ the company seeks to calculate its estimated cost of capital under these conditions.