a.Reliable Electric is expected to provide steady dividend growth of 5% per year for the indefinite future. Its last dividend was $5 per share; the stock s current price is $60 per share. What is the company's cost of equity?

13.33%
		13.75%
		14.25%
		14.75%

b. The yield-to-maturity of a firm's bond is 8.5%. The firm has a beta of 1.3 and a tax rate of 34%. The market risk premium is 8.4% and the risk-free rate is 3.8%. What is the firm's WACC if the firm has a capital structure that is 40% debt financed and the remaining equity financed?

10.74%
		11.08%
		11.61%
		11.38%

please answer all parts