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Rogue Drafting has debt with a market value of $450,000, and common stock with a market value of $350,000. If debt has a cost of

Rogue Drafting has debt with a market value of $450,000, and common stock with a market value of $350,000. If debt has a cost of 8%, and common stock has a cost of 12%, and the firm has a tax rate of 30%, what is the WACC?

a) 7.18%

b) 8.23%

c) 6.83%

d) 8.40%

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