The Labrador Falls Company has three divisions: A Division, B Division, and C Division.

	A				B				C
Sales	$	480,000			$	556,000				?
Net operating income		70,800				?			$	27,200
Residual income		?				44,000				17,000
Average Division Assets		290,000				328,000				60,000
Cost of Capital		15	%			11	%
Profit Margin		22	%			4	%
Asset Turnover		?				4.0
Return on investment		20	%

What was C Division's cost of capital last year?

7.0%.

17.0%.

14.8%.

24.0%.