: Module 5 Homework Assignment Score: 85.0046 Save Submit Assignment for Grading Problem 10.08 (Cost of Common Equity and WACC) Question 6 of 20 Check My Work (3 remaining) E eBook Palencia Paints Corporation has a target capital structure of 40% debt and 60% common equity, with no preferred stock. Its before-tax cost of debt is 8%, and its marginal tax rate is 25%. The current stock price is Po = $34.00. The last dividend was Do = $2.50, and it is expected to grow at a 7% constant rate. What is its cost of common equity and its WACC? Do not round intermediate calculations. Round your answers to two decimal places. rs - % WACC 96 Check My Work (3 remaining) Olon Key Question 6 of 20 Problem 10.08 (Cost of Common Equity and WACC)