The Holmes Company's currently outstanding bonds have a 9% coupon and a 13% yield to maturity. Holmes believes it could issue new bonds at par that would provide a similar yield to maturity. If its marginal tax rote is 25%, what is Holmes' after-tax cost of debt? Round your answer to two decimal places. Torch Industries can is5ue perpetual preferred stock at a price of $56.50 a share. The stock would pay a constant annual dividend of 55.00 a share. What is the compary's cost of preferred stock, rp ? Round your answer to two decimal places