Choose the answer closest to yours. The firm's tax rate is 34 percent. The firm's pre-tax cost of debt is 8 percent; the firm's debt-to-equity ratio is 4; the risk-free rate is 3 percent; the beta of the firm's common stock is 1.5; the market risk premium is 9 percent. Calculate the weighted average cost of capital.

Group of answer choices

7.32 percent

7.15 percent

6.95 percent

7.52 percent