Solve for the Weighted Average Cost of Capital $16.00 \% \quad K _ { l } =$

Solve for the weighted average cost of capital: $16.00 \% \quad K _ { l } =$ cost of equity capital for a leveraged firm
$5 / 6 \lambda =$ debt-to-total-market-value ratio
$8.0 \% \quad i =$ before-tax borrowing cost
$40.0 \% \quad \tau =$ marginal corporate income tax rate

A) 7.00%
B) 6.89%
C) 6.73%
D) 6.67%
E) 6.57%