8. Daleel pic is trying to introduce an improved method of assessing investment projects using discounted cash flow techniques. For this it has to obtain a cost of capital to use as a discount rate. The finance department has assembled the following information: Business Administration Program Final Assessment Semester Spring 2021 Page - The company has an equity beta of 0.80, which may be taken as the appropriate adjustment to the average risk premium. The yield on risk-free government securities is 6.5 per cent and the historic premium above the risk-free rate is estimated at 5 per cent for shares. - The market value of the firm's debt is thrice the value of its equity. - The cost of borrowed money to the company is estimated at 12 per cent (before tax shield benefits). - Corporation tax is 35 per cent. Assume: No inflation. Create an estimate of the weighted average cost of capital (WACC)