A firm has $1,500,000$ shares of common stock outstanding with a market price of $$5$ per share. It has $3,500$

bonds outstanding, each selling for $$1,080.$ The bonds mature in $18$ years, have a coupon rate of $8\mathrm{.}5\%,$ and

pay coupons annually. The firm's beta is $1\mathrm{.}2,$ the risk$-$free rate is $5\%,$ and the market risk premium is $7\%.$ The

tax rate is $30\%.$ What is its WACC?

a$.11\mathrm{.}88\%$

b$.13\mathrm{.}22\%$

C$.12\mathrm{.}52\%$

d$.10\mathrm{.}52\%$

e$.10\mathrm{.}87\%$