Which of the following statements is CORRECT? O a. The cost f new equity (re) could possibly be lower than the cost of reinvested earnings (rs) if the market risk premium, risk-free rate, and the company's beta all decline by a sufficiently large amount. O b. We should use historical measures of the component costs from prior financings that are still outstanding when estimating a company's WACC for capital budgeting purposes. O c. In the WACC calculation, we must adjust the cost preferred stock (the market yield) to reflect the fact that 50% of the dividends received by corporate investors are excluded from their taxable income. O d. A company must try to adjust its current actual market value weights toward its target weights. O e. The component cost of preferred stock expressed as rp(1 - T), because preferred stock dividends are treated as fixed charges, similar to the treatment of interest on debt