Examine the following book-value balance sheet for University Products Inc. The preferred stock currently sells for $30 per share and pays a dividend of $3 a share. The common stock sells for $20 per share and has a beta of 0.7. There are 2 million common shares outstanding. The market risk premium is 12%, the risk-free rate is 8%, and the firm's tax rate is 40% BOOK-VALUE BALANCE SHEET (Figures in $ millions) Liabilities and Net Worth Assets Bonds, coupon 5%, paid annually (maturity10 years, current yield to maturity Cash and short-term $2.0-7%) 3.0 Preferred stock (par value $20 per share) 7.0 Common stock (par value $0.10) 25. Additional paid-in stockholders' equity $10.0 securities Accounts receivable 3.0 Inventories Plant and equipment 11.8 Retained earnings 12.0 $37.0Total $37.0 Total a. What is the market debt-to-value ratio of the firm? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Market debt-to-value ratio b. What is University's WACC? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) WACC