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Vw XYZ has 500,000 common shares outstanding that are priced at $17.20 per share and have an expected return of 18.61% and an expected real

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Vw XYZ has 500,000 common shares outstanding that are priced at $17.20 per share and have an expected return of 18.61% and an expected real return of 16.79%. The company also has 800,000 shares of preferred stock outstanding that are priced at $6.50 per share and have an expected return of 14.12% and an expected real return of 12.37%. Finally, the company has 12,000 bonds outstanding with a coupon rate of 5.899, yield-to-maturity of 8.17%, current yield of 6.930, face value of $1,000, and price of $850. The expected return on the market is 13.98%, the risk free rate is 4.52%, and the tax rate is 204. What is the weighted average cost of capital for XYZ? a. 12.51% (plus or minus 0.05 percentage points) 06.11.47% (plus or minus 0.05 percentage points) C.12.03 (plus or minus 0.05 percentage points) d. 11.73% (plus or minus 0.05 percentage points) e. None of the above is within 0.05 percentage points of the correct

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