Lam Research Corporation has just announced that their debt has been downgraded and is now rated CCC. This news has made the price of Lams bonds drop to $500. Historically, CCC rated debt defaults 12.2% of the time. If Lam defaults on their debt, bond holders can expect to lose $0.50 for each dollar invested. Given no other changes regarding Lams debt from the previous question, what is the cost of Lams debt now?