amount would cost $12\%$ in the United States and $11\%$ in Europe. The same relationship holds for equity financing.

b$.$ If WestGas plans an expansion of only $$60$ million, how should that expansion be financed?

c$.$ What will be the weighted average cost of capital for the expansion?

a$.$ If WestGas plans an expansion of $$120$ million, what is the lowest average cost of capital for the first $$40$ million of new capital?

$\%($Round to two decimal places.$)$

Data table

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