Garcia Company has no debt. Its cost of capital is 9.4 percent. Suppose the company converts to a debt-equity ratio of 1 . The interest rate on the debt is 6.5 percent. Ignore taxes for this problem. a. What is the company's new cost of equity? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16 . b. What is its new WACC? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16