Your firm's capital structure consists of 25% debt and 75% common equity. The firm's debt has twenty years until maturity and a $1,000 par value. The bonds are priced at $985 per bond and pay a 6% coupon rate. The bonds will pay interest semiannually. The firm is in the 25% tax bracket. The firm plans to issue new common stock. The new common stock will pay a $2 dividend per share, and the stock will be priced at $40 per share. Dividends are expected to grow by 11% indefinitely. JP Morgan will charge the firm 10% to prepare the stock issuance. What is the firm's weighted average cost of capital? 14.71% 13.57% 2.41% O None of the Above Your firm has a weighted average cost of capital of 8%. Assuming the project's are mutually exclusive, which project(s) should the firm accept? Project A has an expected return of 6% Project B has an expected return of 12% Project C has an expected return of 7% Project D has an expected return of 22% Every firm has an optimal mix of capital structure. True False