Examine the following book-value balance sheet for University Products Incorporated. The preferred stock currently sells for $15 per share and pays a dividend of $3 a share. The common stock sells for $20 per share and has a beta of 0.6. There are 3 million common shares outstanding. The market risk premium is 9%, the risk-free rate is 5%, and the firms tax rate is 21%.

BOOK-VALUE BALANCE SHEET
(Figures in $ millions)
Assets		Liabilities and Net Worth
Cash and short-term securities	$ 2.0	Bonds, coupon = 8%, paid annually (maturity = 10 years, current yield to maturity = 9%)	$ 10.0
Accounts receivable	5.0	Preferred stock (par value $20 per share)	3.0
Inventories	9.0	Common stock (par value $0.10)	0.3
Plant and equipment	26.0	Additional paid-in stockholders equity	16.7
		Retained earnings	12.0
Total	$ 42.0	Total	$ 42.0

What is the market debt-to-value ratio of the firm?

What is Universitys WACC?

Note: For all the requirements, do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.