Use the information to answer the following questions. The XXX Company has a marginal tax rate of 40%. The company can issue new bonds at par that would provide a 13% YTM. The firm's beta is 1.4, the T-bill rate is 5%, and the market return is 12%. . The firm's long-term debt currently sells at par value for $1,500 The firm has 350 shares of common stock outstanding that sell for $10 per share. Continued from previous question. What is xxx's capital structure based on market weights? Select one: a. 70% in debt, 30% in equity. b. 40% in debt, 60% in equity. c. 50% in debt, 50% in equity. d. 60% in debt, 40% in equity. e. 30% in debt. 70% in equity. Continued from previous question. What is the firm's weighted average cost of capital? Select one: a. 13.95% b. 15.70% c. 9.90% d. 12.70% e. 11.59%