The total market value of the common stock of the Okefenokee Real Estate Company is $$9\mathrm{.}5$ million, and the total value of its debt is

$$6\mathrm{.}7$ million. The treasurer estimates that the beta of the stock is currently $1\mathrm{.}5$ and that the expected risk premium on the market is $9\%.$

The Treasury bill rate is $5\%.$ Assume for simplicity that Okefenokee debt is risk$-$free and the company does not pay tax.

a$.$ What is the required return on Okefenokee stock? $($Do not round intermediate calculations. Enter your answer as a percent

rounded to $2$ decimal places.$)$

b$.$ Estimate the company cost of capital. $($Do not round intermediate calculations. Enter your answer as a percent rounded to $2$

decimal places.$)$

c$.$ What is the discount rate for an expansion of the company's present business? $($Do not round intermediate calculations. Enter your

answer as a percent rounded to $2$ decimal places.$)$

d$.$ Suppose the company wants to diversify into the manufacture of rose$-$colored spectacles. The beta of unleveraged optical

manufacturers is $0\mathrm{.}95.$ Estimate the required return on Okefenokee's new venture. $($Do not round intermediate calculations. Enter

your answer as a percent rounded to $2$ decimal places.$)$