Ganado's Cost of Capital. Maria Gonzalez, Ganado's Chief Financial Officer, estimates the risk$-$free rate to be $3\mathrm{.}90\%,$ the company's credit risk premium is $3\mathrm{.}70\%,$ the domestic beta is estimated at $0\mathrm{.}92,$ the international beta is estimated at $0\mathrm{.}65,$ and the company's capital structure is now $35\%$ debt. The expected rate of return on the market portfolio held by a well$-$diversified domestic investor is $9\mathrm{.}70\%$ and the expected return on a larger globally integrated equity market portfolio is $8\mathrm{.}70\%.$ The before$-$tax cost of debt estimated by observing the current yield on Ganado's outstanding bonds combined with bank debt is $8\mathrm{.}30\%$ and the company's effective tax rate is $35\%.$ For both the domestic CAPM and ICAPM, calculate the following:

a$.$ Ganado's cost of equity

b$.$ Ganado's after$-$tax cost of debt

c$.$ Ganado's weighted average cost of capital

a$.$ Using the domestic CAPM, what is Ganado's cost of equity?

$9\mathrm{.}24\%($Round to two decimal places.$)$

Using the ICAPM, what is Ganado's cost of equity?

$7\mathrm{.}02\%($Round to two decimal places.$)$

b$.$ Using the domestic CAPM, what is Ganado's after$-$tax cost of debt?

$5\mathrm{.}40\%($Round to two decimal places.$)$

Using the ICAPM, what is Ganado's after$-$tax cost of debt?

$5\mathrm{.}40\%($Round to two decimal places.$)$

c$.$ Using the domestic CAPM, what is Ganado's weighted average cost of capital?

$7\mathrm{.}90\%($Round to two decimal places.$)$

Using the ICAPM, what is Ganado's weighted average cost of capital?

$\%($Round to two decimal places.$)$