Assume that the beta of an all$-$equity firm is $1\mathrm{.}25,$ that the risk$-$free rate is $3$ percent, and that the firm's WACC $($using CAPM for equity returns$)$ is $10$ percent. If the firm changes its capital structure to $35\%$ debt and $65\%$ equity, where the yield $($cost$)$ of debt is $6\%,$ and if the tax rate is $40\%,$ then determine what the new WACC will be$,$ using CAPM for required equity returns.