6. Donald & Sons Co. issued 80,000 bonds outstanding prices at 110% of their face value equal to $1,000. The yield to maturity on these bonds is 6%. The company also has 4 million of ordinary shares outstanding with a beta of 1.2 and a market price of $45 a share. The U.S. Treasury bill is yielding 1% and the market risk premium is 8%. Furthermore, Donald & Sons Co. has 500,000 preferred shares outstanding which pay a current dividend of $1.50 per share annually. The market price of preferred share equals $20. What is Donald & Sons' weighted average cost of capital if the corporate tax rate is 17%? A. 10.38% B. 9.03% C. 8.71%