The Hampton Hardware Company is trying to estimate its optimal capital structure. Hampton's current capital structure consists of 20% debt und 80% equity; however, management believes the firm should use more debt. The risk-free tate, Re, is 7%, the market risk premium is 5%, and the firm's tax rate is 35%. Currently. Hampton's cost of equity is 16%, which is determined on the basis of the CAPM. What would be Hampton's estimated cost of equity if it were to change its capital structure from its present capital structure to 40% debt and 60% oquity? 19.25% O 6.20,33 18.10 d. 14,934 15.45