Polencia Paints Corporation has a target capital structure of 30% debt and 70% common equity, with no preferred stock. Its before-tax cost of debt is r 3%, and its marginal tax rate is 25%. The current stock price is Po =521.00. The last dividend was Do =$2.75, and it is expected to grow at a 5% constant rate. What is its cost of common equity and its WACC? Do not round intermediate calculations. Round your answers to two decimal placis