You were hired as a consultant to Giambono Company, whose target capital structure is 40% debt, 15% preferred, and 45% common equity. The after-tax cost of debt is 6%, the cost of preferred is 7.5%, and the cost of common stock is 12.75%. The firm will not be issuing any new stock. What is the company's weighted average cost of capital (WACC)?

		10.12%
		9.83%
		9.54%
		9.26%