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Palencia Paints Corporation has a target capital structure of $25\%$ debt and $75\%$ common equity, with no preferred stock. Its before$-$tax cost of debt is $13\%,$ and its marginal tax rate is $25\%.$ The current sto price is $P_0=$$$28\mathrm{.}00.$ The last dividend was $D_0=$$$3\mathrm{.}25,$ and it is expected to grow at a $7\%$ constant rate. What is its cost of common equity and its WACC? Do not round intermediate calculations. Round yo answers to two decimal places.

$r_s=$

WACC $=$