Question 4: Janus, a small public company currently has no debt and equity of $2.63B. The investors in its equity currently require a return of 8.5% according to CAPM (with values for the risk-free rate of 1.5% and expected market risk premium of 5.5% - prof's favorite value). The company intends to issue $1.0B of debt, using the proceeds to repurchase stock. If the company expects to pay taxes at a 15% rate in the future, what return will stock investors require to hold the stock after the capital restructuring? (5 points)