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22. Rogue River Retail Inc. has a before-tax cost of debt of 8.00%, a cost of equity of 12.00% a tax rate of 30.00% and

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22. Rogue River Retail Inc. has a before-tax cost of debt of 8.00%, a cost of equity of 12.00% a tax rate of 30.00% and no preferred stock outstanding. If the firm is made up of 50% debt and 50% equity, what is the firm's after-tax cost of borrowing? a. 12.00% b. 11.60% c. 8.00% d. 5.60%

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