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ABC Corporation has a target capital structure of 60% common stock and 40% debt. Its common stock has a Beta of 1.00. The expected return

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ABC Corporation has a target capital structure of 60% common stock and 40% debt. Its common stock has a Beta of 1.00. The expected return on the market is 8.50% and the risk free rate is 1.75%. The pre-tax cost of debt is 7.00%. The relevant tax rate is 21.00%, what is the weighted Average Cost of Capital (WACC)? (Round to two decimal places) Multiple Choice 11.36% O O 7.90% 6.72% 7.31% O

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