Nestl$$ of Switzerland is revisiting its cost of equity analysis. As a result of extraordinary actions by the Swiss Central$$ Bank, the Swiss bond index yield$(10-$year maturity$)$ has dropped to a record low of $0\mathrm{.}47\%.$ The Swiss equity markets have been averaging $8\mathrm{.}50\%$returns$,$ while the Financial Times global equity market$$ returns, indexed back to Swiss$$ francs, stands at $9\mathrm{.}08\%.$Nestl$\text{'}$s corporate treasury staff has estimated the$$ company's domestic beta at $,0\mathrm{.}933$ but its global beta$($against the larger global equity market$$ portfolio$)$ at $0\mathrm{.}494.$

a$.$ What is$$ Nestl$\text{'}$s cost of equity based on the domestic portfolio for a Swiss$$ investor?

b$.$ What is$$ Nestl$\text{'}$s cost of equity based on a global portfolio for a Swiss$$ investor?