Palencia Paints Corporation bas a target capital structure of 40% debt and 60% common equity, with no preferred stock. Its before-tax cost of debt is. and its marginal tax rate is 254. The current stock price is Po - $29.50. The last dividend was Do - $2.25, and it is expected to grow at a 7% constant rate. What is its cost of common equity and its WACC? Do not round Intermediate calculations. Round your answers to two decimal places. WACC