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An analyst gathered the following information regarding MT Technologies: Current market share price = $42 Current dividend = $1.02 per share Earnings retention rate =

An analyst gathered the following information regarding MT Technologies:

Current market share price = $42

Current dividend = $1.02 per share

Earnings retention rate = 70%

Return on equity = 22%

Aftertax cost of debt = 9%

Marginal tax rate = 35%

Target debttoequity ratio = 0.3

The companys weighted average cost of capital is closest to:

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15.44%

16.08%

15.35%

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