Question 12 (1 point) A company has capital structure consisting of long-term debt, preferred stock and common equity. If the company uses the CAPM to calculate the cost of equity capital, which of the following events would most likely reduce the company's WACC [IWeighted Average Cost of Capital]? O a. A reduction in the corporate tax rate. O b. A decline in the company's stock price. O c. A reduction in the market risk premium. O d. The Federal Reserve tightens monetary policy. Save