Compute the June 20xx Cost of Capital (Rounded to Nearest

Compute the June 20xx cost of capital (rounded to nearest percent) for an investment center with the following information: $\begin{array}{lr}\text { Pre-tax operating income for June 20xx } & \$ 17,500,000 \\\text { Assets at June } 30,20 \mathrm{xx} & 6,200,000 \\\text { Current liabilities at June } 30,20 \mathrm{xx} & 4,000,000 \\\text { Long-term liabilities at June } 30,20 \mathrm{xx} & 1,500,000 \\\text { Income tax expense for June } 30,20 \mathrm{xx} & 5,000,000 \\\text { EVA } & 11,940,000\end{array}$

A) 10 percent
B) 25 percent
C) 13 percent
D) 17 percent