You need to calculate the ABC Corporation's cost of debt, cost of equity, and WACC. Here's what's known:

ABOUT THE MARKET: The expected return on the market portfolio is 10 percent. Treasury bills offer a 3.2 percent annual return.

ABOUT THE "ABC CORPORATION": It's a levered firm. (If it did not have debt, the Beta of its equity would have been 1.20.) Its target debt-to-equity ratio is .55 and it would like to maintain this ratio in the future. This firm has debt that matures in 25 years, has a $2,000 par value (per bond), and the coupon rate of 5.9 percent. Semiannual coupon payments are required until the debt matures. Today's price of each bond is $2,140. The firm pays taxes according to an income tax rate of 23 percent.

a.	ABC's cost of debt (HINT: "annual yield to maturity"!) equals: (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
b.	ABC's cost of equity equals: (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
c.	ABC's WACC (TIP: if you're unsure how to go from "debt-to-equity ratio" to "weight of debt" and "weight of equity", watch my short video https://youtu.be/BAipMtb6N9k) equals: (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

a. Cost of debt

b. Cost of equity

c. WACC