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The expected return on the market is 12.47%, the risk-free rate is 4.21%, and the tax rate is 22.00%. Semper Fun Sports has 300,000 common

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The expected return on the market is 12.47%, the risk-free rate is 4.21%, and the tax rate is 22.00%. Semper Fun Sports has 300,000 common shares outstanding that are priced at $41.30 per share and have an expected return of 16.61% and an expected real return of 14.58%. Last year, Semper Fun Sports common stock had a return of 11.96%. The company also has 400,000 shares of preferred stock outstanding that are priced at $15.37 per share and have an expected return of 13.25% and an expected real return of 12.00%. Last year, Semper Fun Sports preferred stock had a return of 8.74%. Finally, the company has 10,000 bonds outstanding with a coupon rate of 9.84%, yield-to-maturity of 4.38%, current yield of 8.80%, face value of $1,000,00, and price of $1,240.00. What is the weighted average cost of capital for semper Fun Sports? 10,97% (plus or minut 0.02 percent) 11.04% (plus or minus 0.02 percent) 10.65% (plus or minus 0.02 percent) O 12.04% (plus or minus 0.02 percent) None of the above is within .02 percentage points of the correct

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