Question 27 4 pts Afirm has the following data: target capital structure of 30% debt and 70% common equity; tax rate = 40%; ra = 7%; and rs = 10%. Assume the firm will not be issuing new common stock. What is this firm's WACC? 8.26% 6.71% 8.17% 5.94% 6.12% Suppose you must estimate the cost of equity for a firm, and you have the following data: rre= 5.5%;rM - PRF = 6%; b = 0.8; D1 = $1.00; Po = $25.00; g = 6%; and rd = the firm's bond yield = 6.5%. What is this firm's cost of equity using the bond-yield-plus-risk-premium approach? Use a 4.5% judgmental risk premium in your calculation. 10% O 11% 9% 10.5% O 10.3%