Sealy Corporation had the following information in its financial statements for the years ended 2014 and 2015:

Cash dividends for the year 2015 $ 5,000

Net income for the year ended 2015 87,000

Market price of stock, 12/31/14 10

Market price of stock, 12/31/15 12

Common stockholders equity, 12/31/14 1,000,000

Common stockholders equity, 12/31/15 1,200,000

Outstanding shares, 12/31/15 100,000

Preferred dividends for the year ended 2015 15,000

What is the rate of return on common stock equity for Sealy Corporation for the year ended 2015?

a. 7.9%

b. 6.4%

c. 7.0%

d. 6.5%