Ganado's Cost of Capital.Maria Gonzalez, Ganado's Chief Financial Officer, estimates the risk-free rate to be 3.90%, the company's credit risk premium is 3.70%, the domestic beta is estimated at 1.14, the international beta is estimated at 0.98, and the company's capital structure is now 70% debt. The expected rate of return on the market portfolio held by a well-diversified domestic investor is 9.30% and the expected return on a larger globally integrated equity market portfolio is 8.20%. The before-tax cost of debt estimated by observing the current yield on Ganado's outstanding bonds combined with bank debt is 7.60% and the company's effective tax rate is 30%. 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