City Rentals is considering buying a new fleet of delivery trucks for $8.5 million. It would use its internally generated savings to pay for $6.3 million and finance the rest with debt. City Rentals' common stock has a beta of 1.9. It can issue bonds that mature in 11 years for $989 per bond, including flotation costs, and these bonds have a pretax yield to maturity of 10.3 percent. The company's marginal tax rate is 21 percent, risk free government t-bills are returning 3.4 percent and the return on the market is 13.3 percent. What is the firm's weighted average cost of capital? 24.3 percent 29.9 percent 17.6 percent 18.8 percent