So everyone kept getting 8.45 for the 1st portion and it was actually 11.4. I am needing help getting the second portion and 7.4 keeps coming up incorrect.

Needing help with the second part.

You would like to estimate the weighted average eost of capital for a new airline business. Based on its industryr asset betaI you have already estimated an unlevered cost of capital for the rm of 10%. However. the new business will be 26% debt nanced, and you anticipate its debt cost of capital will be 6%. If its corporate tax rate is 33%. what is your estimate of its WAGS? The equity cost of capital is 11.4'%. (Round to one decimal place.) The weighted average cost of capital is I'll. (Round to one decimal place.)