Laurel, Inc., has debt outstanding with a coupon rate of 6.2% and a yield to maturity of 6.9%. Its tax rate is 35%. What is Laurel's effective (after-tax) cost of debt? NOTE: Assume that the debt has annual coupons and that the firm will always be able to utilize its full interest tax shield. The effective after-tax cost of debt is %. (Round to four decimal places.) Dewyco has preferred stock trading at $52 per share. The next preferred dividend of $3 is due in one year. What is Dewyco's cost of capital for preferred stock? The cost of capital for preferred stock is %. (Round to one decimal place.)