The simplified balance sheet for Rensselaer Felt (in thousands) is as follows: Cash and marketable securities Accounts receivable Inventory Current assets Property, plant, and equipment $2,800 Short-term debt 121,300 126,300 Current liabilities $76,900 63,300 $140,200 Accounts payable $250,400 305,900 209,900 46,300 247,600 $644,000 Long-term debt Deferred taxes Other assets Total 87,700 Shareholders' equity $644,000 Total The debt has an interest rate of 6.75% (short term) and 8.75% (long term). The expected rate of return on the company's shares is 15.75%. There are 7.59 million shares outstanding, and the shares are trading at $43. The tax rate is 40%. Assume the company issues $50 million in new equity and uses the proceeds to retire long-term debt. Also assume the the company's borrowing rates are unchanged and the short-term debt is permanent. Calculate the cost of equity after the capital restructuring. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Cost of equity Calculate the WACC after the capital restructuring. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) WACC