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Assume that you are on the financial staff of Bertin Corporation, and you have collected the following data: ( 1 ) The yield to maturity

Assume that you are on the financial staff of Bertin Corporation, and you have collected the following data: (1) The yield to maturity on the company's outstanding 8% annual coupon bonds is 7%, and its tax rate is 25%.(2) The risk-free rate is 4.0%, the market risk premium (rM - TRF) is 6.0%, and the firm's beta is 0.90.
(3) The firm's capital structure consists of 35% debt and 65% equity. What is Bertin's WACC?
7.21%
7.50%
7.95%
8.21%
8.56%

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