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For a typical firm, which of the following sequences is CORRECT? All rates are after taxes, and assume that the firm operates at its target

For a typical firm, which of the following sequences is CORRECT? All rates are after taxes, and assume that the firm operates at its target capital structure. Cost of subscripts: rc = common stock; rp = preferred stock; rd = debt A. rc > rp > rd > WACC.

B. rc > rp > WACC > rd.

C. WACC > rp > rc > rd.

D. rd > rp > WACC > rc.

E. WACC > rd > rc > rp.

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