Tardy Clocks Inc. (TC) has long term bonds with a face value of $6M, the coupon rate on the bonds is 6% and the yield on the bonds is also 6%. The unlevered cost of equity is 10% and the value of TC's equity is $9.1M. The corporate tax rate is 35%. What is Tardy's WACC?
◦ 6.42%
◦ 7.89%
◦ 8.61%
◦ 9.44%
◦ 11.71%