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4. Problem 9-08 (WACC) WACC eBook Problem Walk-Through David Ortiz Motors has a target capital structure of 40% debt and 60% equity. The yield

4. Problem 9-08 (WACC) WACC eBook Problem Walk-Through David Ortiz Motors has a target capital structure of 40% debt and 60% equity. The yield to maturity on the company's outstanding bonds is 11%, and the company's tax rate is 25%. Ortiz's CFO has calculated the company's WACC as 12.3 %. What is the company's cost of equity capital? Round your answer to the nearest whole number. %

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