Precision Engineering Has a Target Debt-Equity Ratio of 0

Precision Engineering has a target debt-equity ratio of 0.55. Its cost of equity is 15.4 percent, and its pre-tax cost of debt is 7.8 percent. If the tax rate is 34 percent, what is the company's WACC?

A) 10.20 percent
B) 10.72 percent
C) 10.91 percent
D) 11.48 percent
E) 11.76 percent