You were hired as a consultant to Moon Company, whose target capital structure is 30% debt, 25% preferred, and 45% common equity. The after-tax cost of debt is 6%, the cost of preferred is 7.50%, and the cost of common equity is 12.75%. The firm will not be issuing any new stock. What is its WACC?(2 Points)

9.83%

9.26%

9.41%

8.98%