Wind, Inc. is considering a scale-expanding investment of $42 million. The investment is expected to generate an EBITDA of $13.63 million per year for five years. The investment would be depreciated straight-line over that same time period. The company tax rate is 35 percent. The company has bonds outstanding with the total market value of $55 million and a yield to maturity of 6.5 percent. The company also has 4.5 million shares of common stock outstanding, which are selling at a share price of $25. The companys CEO considers the firms current debt equity ratio optimal. Easy-Breeze, LLC is a publicly traded all-equity competitor with a of .7892. The expected market risk premium is 7.5 percent. Treasury bills are currently priced at 3.4 percent. use the weighted average cost of capital approach to determine Mighty Wind should make the investment. suppose the company decides to fund this investment entirely with debt. Determine the appropriate cost of capital; explain.