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Rumolt Motors has 27 million shares outstanding with a share price of $37 per share. In addition, Rumolt has issued bonds with a total current

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Rumolt Motors has 27 million shares outstanding with a share price of $37 per share. In addition, Rumolt has issued bonds with a total current market value of $287 million. Suppose Rumolt's equity cost of capital is 15%, and its debt cost of capital is 6% a. What is Rumolt's pre-tax WACC? b. If Rumolts corporate tax rate is 22%, what is its after-tax WACC? a. What is Rumol's pre-tax WACC? Rumolt's pre-tax WACC is [%(Round to two decimal places.) b. I Rumolt's corporate tax rate is 22%, what is its after-tax WACC? Rumolts after-tax WACC is % (Round to two decimal places.)

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