Grant Ltd Has the Following Equity Structure The Weighted Average Cost of Capital Is:
A) 10

Grant Ltd has the following equity structure: $\begin{array}{c}\begin{array}{l}\\ \text {Long-term debt}\\ \text {Preference shares}\\ \text {Ordinary shares}\end{array}\begin{array}{c}\underline{\text { Market Value }} \\\$ 700,000 \\50,000 \\250,000 \end{array}\begin{array}{c}\underline{\text { Cost} } \\15 \% \\5 \\15 \end{array}\end{array}$
The weighted average cost of capital is:

A) 10.3%
B) 14.5%
C) 8.2%
D) 8.7%