For the most recent year, a companys total market value was $5.02 million and its market value of equity was $2.58 million. The companys statutory tax rate was 22.00%, its average pretax borrowing rate was 5.10%, and its estimated beta was 1.30. Assume a risk-free rate of 2.50% and market risk premium of 4.40%. Use this information to answer the following questions. This is multiple choice with the possible answers below.

a.Estimate the cost of debt capital. [ Select ] ["2.48%", "3.98%", "1.93%", "3.18%", "1.12%"] b.Estimate the cost of equity capital. [ Select ] ["4.22%", "3.25%", "6.58%", "5.72%", "8.22%"] c.Estimate the weighted average cost of capital. [ Select ] ["6.16%", "4.43%", "2.57%", "3.36%", "5.23%"]