hamilton company's 12.8 percent coupon rate, semiannual payment, $1,000 par value bond, which matures in 20 years, currently sells at a price of $1299.25. The company's tax rate is 21 percent. Based on the nominal interest rate, not the EAR, what is the firms after-tax cost of debt for purposes of calculating the WACC

A. 5.96%

B. 7.46%

C. 6.96%

D. 5.46%

E. 6.46%