You were hired as a consultant to Giambono Company, whose target capital structure is 40% debt, 15% preferred stock, and 45% common equity. The after-tax cost of debt is 6.00%, cost of preferred stock is 7.50%, and cost of common equity is 12.75%. What is its WACC? 10.12% 9.54% 8.98% 9.83% 9.26%