Mullineaux Corporation has a target capital structure of 75 percent common stock, 5 percent preferred stock, and 20 percent debt. Its cost of equity is 13 percent, the cost of preferred stock is 4 percent, and the pretax cost of debt is 6 percent. The relevant tax rate is 38 percent.

a.	What is the companys WACC? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places)

WACC

%

b.	What is the aftertax cost of debt? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places)

Aftertax cost of debt

%