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SIROM Scientific Solutions has $ 1 0 million of outstanding equity and $ 1 0 million of bank debt. The bank debt costs 7 %

SIROM Scientific Solutions has $10 million of outstanding equity and $10 million of bank debt. The bank debt costs 7% per year. The estimated equity beta is 2. If the market risk premium is 8% and the risk-free rate is 4%, compute the weighted average cost of capital if the firm's tax rate is 25%.
A.14.52%
B.13.89%
C.12.63%
D.13.26%
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