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Question 8 10 pts Lightyear Toys, Inc. currently has no debt outstanding. Its current cost of equity is 11.26% and the current value of the

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Question 8 10 pts Lightyear Toys, Inc. currently has no debt outstanding. Its current cost of equity is 11.26% and the current value of the company is $15,625,000. Roy is proposing to finance 1/5 of its assets with debt at a cost of 6.5% per annum. What will be Roy's cost of levered equity if things go as planned? lgnore any tax effects. 10.75% 11.54% 12.45% 12.73%

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