The Peterson company uses the dividend discount model to estimate the cost of retained earnings. If its stock is $19 and next years dividends is expected to be $1.36 and then growing at a constant rate 5% thereafter, what is, in percent, Petersons cost of retained earnings?

Garcia Inc. with 10 million preferred stock, 60 million equity, and 30 million debt, and with 6.5% cost of preferred stock, 9.1% cost of equity, and 4.5% before-tax cost of debt with a tax rate of 40% tax rate, what is Garcias WACC?