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Ford Motor Company is discussing new ways to recapitalize the firm and raise additional capital. Its current capital structure has a 25% weight in equity,

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Ford Motor Company is discussing new ways to recapitalize the firm and raise additional capital. Its current capital structure has a 25% weight in equity, 10% in preferred stock and 65% in debt The cost of equity capital is 15% the cost of preferred stock is 8% and the pretax cost of debt is 7% What is the weighted average cost of capital for Ford if its marginal tax rato is 25%? G A7 56% OB. 7.95% OC 8.76% D. 9.16%

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