Firm L has debt with a market value of $$200,000$ and a yield of $9\%.$The firm's equity has a market value of $$300,000,$ its earnings are growing at a rate of $5\%,$ and its tax rate is $40\%.$ A similar firm with no debt has a cost of equity of $12\%.$ Under the MM extension with growth, what is Firm L$\text{'}$s cost of equity?Select one: a$.11\mathrm{.}4\%$ b$.12\mathrm{.}0\%.12\mathrm{.}6\%$ d$.13\mathrm{.}3\%$ e$\mathrm{.}14\mathrm{.}0\%$