Titan Mining Corp. has 9.3 million shares of common stock outstanding and 260,000 6.8 percent semiannual coupon bonds outstanding, par value $1,000 each. The common stock currently sells for $34 per share and has beta of 1.2. The bonds have 20 years to maturity and sell for 104 percent of par. The market risk premium is 7 percent, T-bills are yielding 3.5 percent, and Titan Mining's tax rate is 35 percent (18 pts.) a. What is Titan's cost of debt? b. What is Titan's cost of equity? c. What is Titan's weighted average cost of capital (WACC) using market value weights? d. What discount rate should Titan use to evaluate a new investment project that has the same risk as the firm's typical project?

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