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The tax rate is 40% and common stock dividends grow at 6%

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The tax rate is 40% and common stock dividends grow at 6%. The last common stock dividend paid was £3.80 and the market price of a share is £70. Treasury bonds yield 6% and the market risk premium is 5% with a beta of 1.3. The preferred stock has a value of E90 per share and a dividend of £10 per share. The cost of debt is 8%. 
Afhat is the cost of common stock equity using the Capital Asset Pricing Model? 
Select one: O a. 12.5% O b. 11.75% O c. 4.8% O d. None of these answers are correct O e. 11.11%