When using WACC, the correct number is the: a. pre-tax cost of debt, because it is the actual rate the firm is paying bondholders. O b. b. post-tax cost of debt, because dividends are tax-deductible. c. post-tax cost of debt, because interest is tax-deductible. Jelly's corporation wants to have a weighted average cost of capital of 9.5 percent. The firm has an after-tax cost of debt of 6.5 percent and a cost of equity of 12.75 percent. a What debt-equity ratio is needed for the firm to achieve its targeted weighted average cost of capital? a. 0.84 O b. 1.08 O c. 0.92