QUESTION 18 4 points Sorensen Systems Inc. is expected to pay a $2.50 dividend at year end (D] = $2.50), the dividend is expected to grow at a constant Tate of 5 50% a year, and the common stock currently sells for $37.50 a share. The before tax cost of debt is 7.50%, and the tax rate is 40%. The target capital structure consists of 40% debt and 60% common equity. What is the company's WACC if all the equity used is from retained earnings? Do not round your intermediate calculations A 8 41% B. 7.72% C. 1004% D. 9.10%