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Baxter Inc. has a target capital structure of 20% debt, 25% preferred stock, and 55% common stocks. The company's before-tax cost of debt is 7% and its cost of preferred stock is 11%. The company stock has a beta of 1.5. market return risk premium is 4%, risk free rate is 1% and the company's marginal tax rate is 21%. What is the company's weighted average cost of capital(WACC)? Hint: Calculate the cost of Common Stock Using CAPM formula to find the WACC O 6.12% O 7.71% O 8.80% 09.45%