Given the following information, calculate the firm's WACC using new common equity. Target capital structure: 35% debt, 10% preferred, 55% common equity Required return on preferred stock: 10% Before-tax cost of debt: 8% Current common stock price: $32 Next year's dividend on common stock: $1.50 Growth rate (constant): 5% Flotation cost: 6% Marginal tax rate: 25% . 7.67% O O 7.05% 8.11% O 8.43%