P$10\mathrm{.}4$ Unlevering the Equity Cost of Capital$-$Low Leverage & High Leverage Companies: Below, we show the information for two potential comparable companies. Calculate the unlevered cost of capital based on the following assumptions. Neither company expects its free cash flows to grow.

$\backslash$table$[[,\backslash$table$[[$Low Leverage$],[$Company$]],\backslash$table$[[$High Leverage$],[$Company$]]],[$Income tax rate for interest $(T_{\frac{?}{\text{I}\text{N}\text{T}}})..........................,35\mathrm{.}0\%,45\mathrm{.}0\%$

P$10\mathrm{.}4$ Unlevering the Equity Cost of Capital$-$Low Leverage & High Leverage Companies: Below, we show the information for two potential comparable companies. Calculate the unlevered cost of capital based on the following assumptions. Neither company expects its free cash flows to grow.

$\backslash$table$[[,\backslash$table$[[$Low Leverage$],[$Company$]],\backslash$table$[[$High Leverage$],[$Company$]]],[$Income tax rate for interest $(T_{\frac{?}{\text{I}\text{N}\text{T}}})..........................,35\mathrm{.}0\%,45\mathrm{.}0\%$