Advance Inc. is trying to determine its cost of debt. The firm has a debt issue outstanding with 18 years to maturity that is quoted at 106 percent of face value. The issue makes semiannual payments and has a coupon rate of 5 percent annually. What is Advance's pre-tax cost of debt? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Cost of debt % If the tax rate is 35 percent, what is the after-tax cost of debt? (Do not round intermediate calculations. Round the final answer to 2 decimal places.) Cost of debt %