19. A BBB rated company trades at $5.00 per share and has 800M shares outstanding. The company has an effective tax rate of 25%. The market risk premium is 12% and the company has a beta of 1.50. Long term debt on the balance sheet is 120M and the company pays a $5M annual coupon on the bond. You could buy the debt in the open market for 100M today based on the long term US treasury rate of 4.0% and the spread between US treasuries and BBB corporate bonds of 3.0%. Based on the current capital structure, the company's WACC is closest to.

A.14.0%

B.14.4%

C.18.2%

D.18.6%

E.19.0%