1. Eight months ago, you purchased 400 shares of Winston, Inc. stock at a price of $56.90 a share. To date the company has paid quarterly dividends of $.55 a share twice. Today, you sold all of your shares for $49.40 a share. What is your total percentage return on this investment?

A. -9.3%

B. -8.4%

C. 12.0%

D. -11.2%

2. Kelley Corporation has a target capital structure of 55 percent common stock and 45 percent debt. Its cost of equity is 16 percent, and the cost of debt is 9 percent. The relevant tax rate is 35 percent. What is Kelley's WACC?

A. 11.43%

B. 16.00%

D. 21.85%

C. 5.85%