20. Yodadio, Inc. has a Beta of 1.20, the risk free rate is 4% and the "risk premium" (market rate of return minus the risk free rate) is 6 %. If Yodadio, Inc. borrows money, the interest rate will be 7% and the effective tax rate is 40%. The weight of the debt is 60% of total capital and the weight of equity is 40 % of total capital. What is the weighted average cost of capital (WACC) for the firm? (7 points) Weight Weighted Cost Cost Debt Equity WACC behau e u o a