230. Lili systems has 200,000 shares of common stock outstanding at market price of $37 a share. Lili systems recently paid an annual dividend in the amount of $1.20 per share . The dividend growth rate is 4% . Lili systems also has 4,500 bonds outstanding with a face value of 1,000 per. bond that are selling at 99% of par. The bonds have 6% coupon and a 6.7% yield to maturity. If the tax rate js 34% what is the weighted average cost of capital ?

A. 6.26%

B. 5.33%

C.6.49%

D.7.28%

E.5.87%