Please show work for both 13.6 and 13.7 response! thank you!

13.6 Nestl of Switzerland Revisited. 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 0.520%. The Swiss equity markets have been averaging 8.400% returns, while the Financial Times global equity market returns, indexed back to Swiss francs, is at 8.820%. Nestl's corporate treasury staff has estimated the company's domestic beta at 0.825, but its global beta (against the larger global equity market portfolio) at .515. a. What is Nestl's cost of equity based on the domestic portfolio of a Swiss investor? b. What is Nestl's cost of equity based on a global portfolio for a Swiss investor? Corcovado Pharmaceuticals. Corcovado Pharmaceutical's cost of debt is 7%. The risk- free rate of interest is 3%. The expected return on the market portfolio is 8%. After effective taxes, Corcovado's effective tax rate is 25%. Its optimal capital structure is 60% debt and 40% equity. a. If Corcovado's beta is estimated at 1.1, what is its weighted average cost of capital? b. If Corcovado's beta is estimated at 0.8, significantly lower because of the continuing profit prospects in the global energy sector, what is its weighted average cost of capital? 13.7