Question: Quick multiple choice question that I need help on please. Thanks! SIROM Scientific Solutions has $5 million of outstanding equity and $5 million of bank

Quick multiple choice question that I need help on please. Thanks!

SIROM Scientific Solutions has $5 million of outstanding equity and $5 million of bank debt. The bank debt costs 6% per year. The estimated equity beta is 2. If the market risk premium is 8% and the risk-free rate is 3%, compute the weighted average cost of capital if the firm's tax rate is 25%. O A. 13.51% B. 12.34% C. 11.75% OD. 12.93%

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