United Airlines is considering adding a new hub operation on Mars. The finance group at UAL has gathered the following data. They have hired you as a Finance consultant to help them determine their cost of capital.

Total Enterprise Value is $$20$ billion

Current stock market capitalization in $$8$ billion, shares are trading at $$25$

Outstanding Debt has a $6\mathrm{.}5\%$ yield to maturity

UAL will pay a quarterly dividend next year of $$\mathrm{.}62,$ up from $$\mathrm{.}50$ four years ago

The current risk free rate is $3\mathrm{.}5\%,$ UAL's Beta is $1\mathrm{.}3,$ the market premium is $6\%$

UAL pays a corporate tax rate of $25\%$

What debt and equity weights will United use to calculate WACC?

What is United's cost of debt?

What is United's cost of common equity?

What is United's WACC?