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Starset, Incorporated, has a target debt-equity ratio of 0.8. Its WACC is 10.5 percent, and the tax rate is 34 percent. If the company's cost

Starset, Incorporated, has a target debt-equity ratio of 0.8. Its WACC is 10.5 percent, and the tax rate is 34 percent. If the company's cost of equity is 14.5 percent, what is the pretax cost of debt? If instead you know that the aftertax cost of debt is 7.2 percent, what is the cost of equity?

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