Solve for the weighted average cost of capital. 11.28% = K1 = cost of equity capital for a leveraged firm 1/2debt-to-total-market-value ratio 8.0% = 1 = before-tax borrowing cost 40.0% - - marginal corporate income tax rate Multiple Choice 8.67 percent 8.00 percent 760 percent tPrey Multiple Choice 8.67 percent 8.00 percent 7.60 percent 7.33 percent K Prex