Given the following information for a Electronics company, find its WACC. Assume the companys tax rate is 25 percent. Debt: 28,000, 6.2 percent coupon bonds outstanding, $1,000 par value, 20 years to maturity, selling for 99 percent of par; the bonds make semiannual coupon payments. Common stock: 360,000 shares outstanding, selling for $51 per share; the beta is 1.82. Market: 7.0 percent market risk premium and 3.6 percent risk-free rate.

A.

7.95%

B.

8.30%

C.

8.65%

D.

9.00%

E.

9.35%