Calculate the cost of capital for Odorf Inc. given the following information. Common equity: Number of shares outstanding $=1$ million

Share Price $=$ $$1\mathrm{.}50$

Beta $=1\mathrm{.}5$

Debt:

Number of bonds $=1,000$

Bond price $=$ $$948\mathrm{.}54$

Coupon rate $=10\%$ paid annually

Maturity $=8$ years

T$-$bill rate $=5\%$

Market return $=16\%$

Marginal tax rate $=0\mathrm{.}35$