P14-6 Calculating Cost of Debt [LO2] Waller, Inc., is trying to determine its cost of debt. The firm has a debt issue outstanding with 12 years to maturity that is quoted at 93 percent of face value. The issue makes semiannual payments and has an embedded cost of 9 percent annually. Note the embedded cost refers to the coupon rate. Required: What is the company's pretax cost of debt as an APR? (Do not round your (a)intermediate calculations. Note: the pre-tax cost of debt is the cost of debt before the tax is taken out of it). (Click to select) (Click to select) 9.20% 10.42% 10.02% 9.51% 10.52% (b)lf the tax rate is 33 percent, what is the after-tax cost of debt as an APR? (Do not round your intermediate calculations.) (Click to select) (Click to select) 7.05% 6.37% 4.78% 6.71% 6.98%