Pinder Co has 20,000 bonds outstanding, each with a face value of $1,000. 13,000 of the 20,000 bonds pay a semi-annual coupon of 6% p.a. with 10 years left to maturity and an effective annual yield to maturity of 7%. 7,000 of the 20,000 bonds pay an annual coupon of 9% p.a. with 12 years left to maturity and an effective annual yield to maturity of 8%. The most recent coupon for both types of bonds have just been paid. Pinder Cos effective tax rate is 35%. Pinder Co has 10 million ordinary shares outstanding which are currently trading at $4 per share. Pinder Cos beta is 1.5, the risk-free rate is 5%, and the expected return on the market portfolio is 15%. Using the capital asset pricing model to estimate the cost of equity, what is Pinder Cos after-tax weighted average cost of capital? (Round to the nearest two digits)

Group of answer choices

14.50%

14.98%

13.08%

15.63%

None of the other answers are correct.