An INR cost of capital

Suppose (placeholder) the 10-year G-sec yields 6.6%. Use Damodaran's July 2026 India figures. Four listed peers have unlevered betas 0.85, 0.95, 0.75, 0.90. Your company targets $D/E = 0.5$, has pre-tax marginal cost of debt 9.5% and tax rate 25.17%. (a) Compute the INR risk-free rate, the relevered beta and $k_e$. (b) The company is an IT exporter whose exposure to Indian country risk you estimate at $\lambda = 0.4$. Recompute $k_e$ with the $\lambda$ approach. (c) Compute WACC using (a).