Question 4 (5 points) You were hired as a consultant to Giant Foot Company, whose target capital structure is 45% debt, 15% preferred, and 40% common equity. The after-tax cost of debt is 6.00%, the cost of preferred is 7.50%, and the cost of retained earnings is 12.00%. The firm will not be issuing any new stock. What is its WACC? (Multiple Choice) 8.93% 7.68% 6.69% 7.49% 8.63%