Assume that you have been hired as a consultant by ARC, a major producer of chemicals and plastics, including plastic grocery bags, styrofoam cups, and fertilizers, to estimate the firm's weighted average cost of capital. The balance sheet and some other information are provided below.

Assets

Current assets RM $38,000,000$

Net plant, property, and equipment

${101}_{,}{000}_{,}{000}_{?}$

Total assets

$RM{139}_{,}{000}_{,}{000}_{?}$

Liabilities and Equity

Accounts payable RM $10,000,000$

$\{\begin{array}{ccc}\text{:}[& \text{A}\text{c}\text{c}\text{r}\text{u}\text{a}\text{l}\text{s}& ]\\ & \text{C}\text{u}\text{r}\text{r}\text{e}\text{n}\text{t}\text{l}\text{i}\text{a}\text{b}\text{i}\text{l}\text{i}\text{t}\text{i}\text{e}\text{s}& \end{array}9,\frac{000}{RM},{000}_{?}$

Long$-$term debt $(40,000$ bonds, RM$1,000$ par value$){40}_{,}{000}_{,}{000}_{?}$

Total liabilities $,RM59,{000}_{,}{000}_{?}$

Common stock shares$),30,000,000$

Retained earnings $,50,{000}_{,}{000}_{?}$

Total shareholders' equity $,{80}_{,}{000}_{,}{000}_{?}$

Total liabilities and shareholders' equity

RM$139,{000}_{,}{000}_{?}$

The stock is currently selling for RM$15\mathrm{.}25$ per share, and its noncallable RM$1,000$ par value, $20-$year, $7\mathrm{.}25\%$ bonds with semiannual payments are selling for RM$875\mathrm{.}00.$ The beta is $1\mathrm{.}25,$ the yield on a $6-$month Treasury bill is $3\mathrm{.}50\%,$ and the yield on a $20-$year Treasury bond is $5\mathrm{.}50\%.$ The required return on the stock market is $11\mathrm{.}50\%,$ but the market has had an average annual return of $14\mathrm{.}50\%$ during the past $5$ years. The firm's tax rate is $40\%.$

a$)$ What is the after$-$tax cost of debt?

b$)$ What is the firm's cost of equity?

c$)$ What is the weight of debt?

d$)$ What is the firm's WACC?