ll. Aaron's Rentals has 45,000 shares of common stock outstanding at a market price of $27 a share. The common stock just paid a $1.10 annual dividend and has a growth rate of 3.2 percent. There are 10,000 shares of 5.5 percent preferred stock outstanding at a market price of $48 a share. The preferred stock has a par value of $100. The outstanding bonds mature in 11 years, have a total face value of $800,000, a face value per bond of $1,000, and a market price of $987.60 each. The bonds pay 15 percent interest, semiannually. The tax rate is 35 percent. What is the rm's weighted average cost of capital? a. 7.42 percent b. \"L61 percent c. 8.97 percent (1. 9-42 percent e. 10.38 percent