10. Hilliard Corp. wants to calculate its weighted average cost of capital (WACC). The company's CFO has collected the following information: The company's long-term bonds currently offer a yield to maturity of 8 percent. The company's stock price is $32 per share (P0 = $32). The company recently paid a dividend of $2 per share (D0 = $2.00). The dividend is expected to grow at a constant rate of 6 percent a year (g = 6%). The company pays a 10 percent otation cost whenever it issues new common stock (F = 10%). The company's target capital structure is 75 percent equity and 25 percent debt. 0 The company's tax rate is 40 percent. 0 The company anticipates issuing new common stock during the upcoming year. What is the company's WACC? a. 10.67% b. 11.22% c. 11.47% (1. 12.02% e. 12.56%