Tek Company currently has a debt-to-equity ratio of 0.6. The risk-free rate is 6%, and expected equity market return is 12%. Tek is considering a long-term project that has a beta of 1.2. Given that the company's after-tax cost of debt is 7%, and the applicable tax rate is 40%, the WACC that should be used in evaluating this project is closest to: 10.87% 11.43%. 11.77%. 12.00%