Kimberly Beauty is expected to pay a $2.00 dividend at year end (D1 = $2.00), the dividend is expected to grow at a constant rate of 5.50% a year, and the common stock currently sells for $51.50 a share. The before-tax cost of debt is 6.10%, and the tax rate is 40%. The target capital structure consists of 45% debt and 55% common equity. What is the company's WACC? Do not round your intermediate calculations. (Hint: First, calculate the cost of common equity. Then, use the WACC formula with the calculated cost of common equity, given cost of debt, and given capital structure.) (Multiple Choice) 7.79% 5.69% 5.06% 6.81% 6.66%