Compare the weighted average cost of capital (WACC) of two companies, Company X and Company Y, based on their capital structure and cost of capital components. Company X has a target capital structure of 60% equity and 40% debt, with a cost of equity of 10% and a cost of debt of 5%. Company Y has a target capital structure of 70% equity and 30% debt, with a cost of equity of 12% and a cost of debt of 6%. Calculate the WACC for each company and analyze their financing strategies and cost of capital considerations.