Malkin Corp. has no debt but can borrow at 8.75 percent. The firm's WACC is currently 16 percent, and there is no corporate tax. Required: (a) What is Malkin's cost of equity? 16.00 % (b) If the firm converts to 15 percent debt, what will its cost of equity be? 23.25 v % (c) If the firm converts to 50 percent debt, what will its cost of equity be? % (d) What is Malkin's WACC in part (b) and (c)? 15%: 16.00 % 50%: 16.00 %