ABC Inc. is evaluating a project. The ABC intends to use 30% debt in funding the project. ABC identifies 5 comparable companies with the following "equity betas" and "debt/equity" ratios. While the comparable companies have varying marginal tax rates ABC's marginal tax rate is 21%. The current ten-year treasury rate is 2.5% and the EMRP is estimated to be about 6%. The yield on the company's corporate bonds is 4% Company Equity Beta D/E Ratio Marginal Tax Rate A 1.38 0.25 25% B 1.65 0.55 30% C 2.11 0.75 35% D 1.54 0.50 30% 1.83 0.60 30% The weighted average cost of capital is closest to 10.80% 9.67% 7.95% 11.10% 9.6% None of the answer choices is correct