Priority Ltd faces a corporate tax rate of 40%. It is planning to issue preference shares at an offer price of $500 per share. A $30 dividend is expected to be paid annually. Issue costs are estimated to be 10% of the offer price. Calculate the after-tax cost of preference shares for Priority Ltd. Select one: a. 6.67% b. 0.006667 c. 11.11% d. 0.1111