Question: please include steps!:) 12. Company ABC has outstanding debt with a market value of $250 million and common stock with a market value of $450

please include steps!:)

12. Company ABC has outstanding debt with a market value of $250 million and common stock with a market value of $450 million. If the firm has a before-tax cost of debt of 6%, cost of equity of 12%, and a corporate tax rate of 30%, what is the WACC of the firm? a) 6.99% b) 9.00% c) 9.21% d) 9.86% e) Nope of the above . x

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