The treasurer of Perla Medical estimates that the beta of the company's stock is 1.2 and that the expected risk premium on the market is 10%. The Treasury bill rate is 3%, and investors believe that Perla's debt is essentially free of default risk. The total market value of the equity of the company is $6 million, and the total value of its debt is $4 million. a. What is the required rate of return on Perla medical stock? b. Estimate the WACC assuming a tax rate of 21%. c. Estimate the discount rate for an expansion of the company's present business. d. Suppose the company wants to expand into a riskier business than its current one. Is the required rate of return on Perla's new venture higher or lower than its company cost of capital