Peter's Audio Shop has a cost of debt (Before tax) of 7.25%, a cost of equity of 11.95%, and a cost of preferred stock of 9%. The firm has 250,000 shares of common stock outstanding at a market price of $33 a share. There are 55,000 shares of preferred stock outstanding at a market price of $39 a share. The bond issue has a total face value of $700,000 and sells at 102% of face value. The tax rate is 34%. What is the weighted average cost of capital for Peter's Audio Shop?

0/4 pts Incorrect Question 4 Peter's Audio Shop has a cost of debt (before tax) of 7.25 percent, a cost of equity of 11.95 percent, and a cost of preferred stock of 9 percent. The s of firm has 250,000 shares of common stock outstanding at a market price of $33 a share. There are 55,000 shares of preferred stock outstanding at a market price of $39 a share. The bond issue has a total face value of $700,000 and sells at 102 percent of face value. The company's tax rate is 34 percent. What is the weighted average cost of capital for Peter's Audio Shop? 9.48% 11.60% 10.92% O 10.54% O 11.14%