Consider the following information for Watson Power Co.: 11 Debt Common stock: 5,500 7 percent coupon bonds outstanding. $1,000 par value, 23 years to maturity, selling for 102 percent of par the bonds make semiannual payments. 115,500 shares outstanding, selling for $56 per share the beta is 1.18 16,000 shares of 6.5 percent preferred stock outstanding, currently selling for $104 per share. 8.5 percent market risk premium and 55 percent risk-free Preferred stock Market rate. Assume the company's tax rate is 33 percent. Find the WACC. Multiple Choice 10.01% 9.83% Multiple Choice 10.01% 9.83% 10.85% 10.33% 9.93% Me Graw Hill