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The market value of Fords' equity, preferred stock and debt are $7 billion, $2 billion, and $14 billion, respectively. Ford has a beta of 18,

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The market value of Fords' equity, preferred stock and debt are $7 billion, $2 billion, and $14 billion, respectively. Ford has a beta of 18, the market risk premium is 7%, and the risk tree rate of interest is 5%. Ford's preferred stock pays a dividend of $4.50 each year and trades at a price of $25 por share. Ford's debt trades with a yield to maturity of 8.5%. What is Ford's weighted average cost of capital if its tax rate is 30%? O A 12.55% OB. 11.07% OC. 10.54% OD. 11.6% Click to select your

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