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What is the pretax cost of debt? What is the cost of equity? Kose, Inc., has a target debtequity ratio of 1.60. Its WACC is

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What is the pretax cost of debt? What is the cost of equity?

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Kose, Inc., has a target debtequity ratio of 1.60. Its WACC is 9.9 percent, and the tax rate is 38 percent. a. If the company's cost of equity is 16 percent, what is its pretax cost of debt? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Cost of debt % b. If instead you know that the aertax cost of debt is 6.6 percent, what is the cost of equity? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Cost of equity %

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