Cede & Co$.$ expects its EBIT to be $$63,000$ every year forever. The firm can borrow at $7$ percent. The firm currently has no debt, its cost of equity is $13$ percent, and the tax rate is $25$ percent. Assume the firm borrows $$169,000$ and uses the proceeds to repurchase shares.

a$.$ What is the cost of equity after recapitalization? $($Do not round intermediate calculations and enter your answer as a percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

b$.$ What is the WACC? $($Do not round intermediate calculations and enter your answer as a percent rounded to $2$ decimal places, e$.$g$.32\mathrm{.}16.)$

Answer is complete but not entirely correct.

$\backslash$table$[[\backslash$table$[[$Cont of$],[$equity$]],16\mathrm{.}918,\%$