Safeway decided to maintain its WACC of 20.39%. Its capital structure consists of 20% common stock, 45% preferred stock and 35% of debt. The cost of common stock is 10% and cost of debt is 9%. The tax rate is 40%. What should be the cost of preferred stock to maintain the current WACC of 20.39%? 36% 37% 32% 34% 33%