Problem $13\mathrm{.}4$ WACC $($LO$1)$

The common stock of Buildwell Conservation & Construction Inc. $($BCCl$)$ has a beta of $0\mathrm{.}9.$ The Treasury bill rate is $4\%$ and the market risk premium is estimated at $7\%.BCCl\text{'}$s capital structure is $37\%$ debt, paying an interest rate of $6\%,$ and $63\%$ equity. The debt sells at par. Buildwell pays tax at $21\%.$

a$.$ What is $BCCl\text{'}$s cost of equity capital? $($Do not round intermediate calculations. Enter your answer as a percent rounded to $2$ decimal places.$)$

b$.$ What is its WACC? $($Do not round intermediate calculations. Enter your answer as a percent rounded to $2$ decimal places.$)$

c$.$ If $BCCl$ is presented with a normal project with an internal rate of return of $10\%,$ should it accept the project if it has the same level of risk as the current firm?

$\backslash$table$[[,,,],[$a$.,$Cost of equity capital,,$\%$