Question 19 (4 points) Hill Enterprises is financed equally with debt and common stock but no preferred stock. The company has outstanding bonds with 10 years to maturity, a 6% annual coupon, par value of $1,000 and 4.8% yield to maturity. The company pays a marginal tax rate of 25%. The company's growing at a constant rate of 2% and is expected to pay a common dividend of $2 at the end of the year. The common stock is currently selling for $25. Given this information, what is Hill Enterprises' weighted average cost of capital? 6.80% 8% 2.84% 7.25%