Problem 13-2 (algorithmic) Question Help Ganado and Equity Risk Premiums. G 4 40%, the domestic beta is estimated at O se, the international de t estimated by observing the current yield on Ganado's outstanding bonds com bined with bank debt is 8 40% and the company's offective tax rate is 38%, Cal both the CAPM and ICAPM weighted average costs of capital for the following equity risk premium estimates s.Mana Gonzalez, Ganado's Chief Financial Officer, estimates the risk-free rate to be 3.80%, the ompany's redit risk beta is estimated at 0.67, and the company's capital structure is now 45% debt The before-tax cost of late a, 780% b, 6.90% c.490% d. 3.90% a. Using the domestic CAPM, what is Ganado's weighted average cost of capital if the firm's equity risk premium is 780%? (Round to two decimal places)