Attempts Average / 1 1. Problem 10.03 (Cost of Common Equity) eBook Pearson Motors has a target capital structure of 40% debt and 60% common equity, with no preferred stock. The yield to maturity on the company's outstanding bonds is 8%, and its tax rate is 25%. Pearson's CFO estimates that the company's WACC IS 10,50%. What is Pearson's cost of common equity? Do not round Intermediate calculations, Round your answer to two decimal places Grade it Now Save & Continue Continue without saving