A company has an EBIT of $5,095 in perpetuity. The unlevered cost of capital is 17.18%, and there are 29,450 common shares outstanding. The company is considering issuing $11,160 in new bonds at par to add financial leverage. The proceeds of the debt issue will be used to repurchase equity. The YTM of the new debt is 12.21% and the tax rate is 38%. What is the cost of the levered equity after the restructuring?

Options: 18.16% 18.67% 19.17% 19.67% 20.18%