Required Rate of Return: Stock R has a beta of 1.2, Stock S has a beta of 0.55, the expected rate of return on an average stock is 11%, and the risk-free rate is 3%. By how much does the required return on the riskier stock exceed that on the less risky stock? Do not round intermediate calculations. Round your answer to two decimal places. %

After-Tax Cost of Debt: LL Incorporated's currently outstanding 9% coupon bonds have a yield to maturity of 6.6%. LL believes it could issue new bonds at par that would provide a similar yield to maturity. If its marginal tax rate is 25%, what is LL's after-tax cost of debt? Round your answer to two decimal places. %

Cost of Preferred Stock with Flotation Costs: Burnwood Tech plans to issue some $50 par preferred stock with a 8% dividend. A similar stock is selling on the market for $60. Burnwood must pay flotation costs of 4% of the issue price. What is the cost of the preferred stock? Round your answer to two decimal places. %