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Please consider the following company items: Other items Tax rate 25% 6.0% Long term growth 2.0% Market risk premium Risk free rate Unlevered beta 0.60

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Please consider the following company items: Other items Tax rate 25% 6.0% Long term growth 2.0% Market risk premium Risk free rate Unlevered beta 0.60 Long term ROCB 9.0% 3.0% 2.0% Target debt/equity ratio 0.30 Small firm premium Credit spread debt Bond rating BBB 1.5% What is the cost of debt of this company in percentages (%)? Please round your answer to one decimal place, use a period to indicate the decimal place and provide your answer without a percentage sign (e.g. 13.6 instead of 13.6%). Enter answer here

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