Titan Mining Corporation has 6.4 million shares of common stock outstanding and 175,000 (units of) 6 percent semiannual bonds outstanding, par value $1,000 each. The common stock currently sells for $53 per share and has a beta of 1.15; the bonds have 5 years to maturity and sell for 106 percent of par. The market risk premium is 6.8 percent, T-bill are yielding 3.1 percent, and the company's tax rate is 21 percent.

a. What is the market leverage of the company?

b. What is the before cost of debt for the company?

c. What is the cost of equity for the company?

d. If the company is evaluating a new investment project that has the same risk as the firm's typical project, and the firm will keep the current leverage, what discount rate should the company use to discount the project's cash flows in WACC method?