GIVEN THE FOLLOWING COST OF CAPITAL INFORMATION BELOW. HOW IS THE COST OF EQUITY (9.1%) AND COST OF DEBT(2.9%) CALCULATED?
	WEIGHT	COST	W X C
EQUITY	81.00%	9.10%	7.40%
DEBT COST (A-T)	19.00%	2.90%	0.60%
PREFERRED EQUITY	0.00%	0.00%	0.00%
WACC			7.90%
COST OF EQUITY		9.10%
RISK FREE RATE		2.88%
(+) EQUITY RISK PREMIUM		6.22%
BETA		1.03%
(X) COUNTRY/REGION PREMIUM		6.06%
EXPECTED MARKET RETURN		8.94%
(-) RISK FREE RATE		2.88%
MARKET CAPITALIZATION		75193.42
COST OF DEBT		2.93%
EFFECTIVE TAX RATE		78.31%
EFFECTIVE TAX RATE		21.69%
(X) TOTAL PRE-TAX COST OF DEBT		2.91%
NOTE RATE X ST DEBT TO TOTAL DEBT		0.30%
ST DEBT TO TOTAL DEBT		0.09%
(X) NOTE RATE		3.21%
(+) BOND RATE X LT DEBT TO TOTAL DEBT		2.61%
LT DEBT TO TOTAL DEBT		0.91%
(X) BOND RATE		2.88%
(X) DEBT ADJUSTMENT FACTOR		1.29%
TOTAL DEBT		17645.00
SHORT TERM DEBT		1649.00
(+) LONG TERM DEBT		15996.00