Homework: Chapters 13 & 18 Homework Save Score: 0 of 1 pt 6 of 7 (0 complete) HW Score: 0%, 0 of 7 pts Problem 13-4 (algorithmic) s Question Help Ganado and Equity Risk Premiums. Maria Gonzalez, Ganado's Chief Financial Officer, estimates the risk-free rate to be 3.70%, the company's credit risk premium is 4.30%, the domestic beta is estimated at 1.17, the international beta is estimated at 0.99, and the company's capital structure is now 45% debt. The before-tax cost of debt estimated by observing the current yield on Ganado's outstanding bonds combined with bank debt is 8.40% and the company's effective tax rate is 30%. Calculate both the CAPM and ICAPM weighted average costs of capital for the following equity risk premium estimates. a. 7.80% b. 6.90% c. 4.90% d. 4.00% a. Using the domestic CAPM, what is Ganado's weighted average cost of capital if the firm's equity risk premium is 7.80%? % (Round to two decimal places.)