The Auto Group has 1,000 bonds outstanding that are selling for $990 each. The company also has 9,800 shares of preferred stock at a market price of $90 each. The common stock is priced at $85 a share and there are 44,000 shares outstanding. What is the weight of the preferred stock as it relates to the firm's weighted average cost of capital?

31.43 percent

66.64 percent

7.86 percent

17.64 percent

15.72 percent