Analysts expect ElectroSoft to generate $$99\mathrm{.}6$ million of free cash flow at the end of the current year. $($Assume that cash flows occur on December $31$ and today is January $1.)$ Analysts expect Electrosoft$$s cash flow to grow at $3\%$ in perpetuity. Electrosoft has no debt and its shareholders require a return of $12\%.$ There are $151\mathrm{.}59817$ million shares outstanding, and the shares trade for $$7\mathrm{.}30.$ ElectroSoft has announced a stock repurchase. It intends to buy $60$ million shares at a price of $$8$ per share. The repurchase will be debt financed. After the repurchase, the company$$s debt$-$to$-$equity ratio will be $2/3$ and it will maintain that ratio in perpetuity. The cost of debt is $5\%$ and the tax rate is $35\%.$ Answer the following questions.Analysts expect ElectroSoft to generate $$99\mathrm{.}6$ million of free cash flow at the end of the current year. $($Assume that cash flows occur

on December $31$ and today is January $1.)$ Analysts expect Electrosoft's cash flow to grow at $3\%$ in perpetuity. Electrosoft has no debt

and its shareholders require a return of $12\%.$ There are $151\mathrm{.}59817$ million shares outstanding, and the shares trade for $$7\mathrm{.}30.$

ElectroSoft has announced a stock repurchase. It intends to buy $60$ million shares at a price of $$8$ per share. The repurchase will be

debt financed. After the repurchase, the company's debt$-$to$-$equity ratio will be $\frac{2}{3}$ and it will maintain that ratio in perpetuity. The cost

of debt is $5\%$ and the tax rate is $35\%.$ Answer the following questions.

Part $1$

What is the levered cost of equity after the repurchase? $($Express your answer in percentage form rounded to one decimal place.$)$

Cost of equity $=,\%$

Part $2$

What is the company's WACC after the repurchase? $($Express your answer in percentage form rounded to one decimal place.$)$

WACC $=,\%$