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Aryton Corp's common stock market value is $15 million, and the market value of its risk-free debt is $5 million. Aryton's beta for its common

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Aryton Corp's common stock market value is $15 million, and the market value of its risk-free debt is $5 million. Aryton's beta for its common stock is 1.5, and the market risk premium is 8 per cent. If the risk-free rate is 5 per cent, what is the Aryton's cost of capital? (Assume no taxes.) 14.0% 12.5% 15.0% 17.0%

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