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SIROM Scientific Solutions has $10 million of outstanding equity and $5 million of bank debt. The bank debt costs 6% per year. The estimated equity

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SIROM Scientific Solutions has $10 million of outstanding equity and $5 million of bank debt. The bank debt costs 6% per year. The estimated equity beta is 2. If the market risk premium is 7% and the risk-free rate is 5%, compute the weighted average cost of capital if the firm's tax rate is 25%. A. 14.88% B. 14.17% C. 16.29% D. 15.58%

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