2. Problem 2 A university wants to apply the concept of the WACC to set its interest rate for analyzing capital projects. It has an endowment of $68 million, which is earning 6.3% interest. It is paying 4.5% annual interest on $29 million in bonds (through annual payments). It believes that $94 million in general funds from the taxpayers should be assigned an interest rate of 13%. Note that only the interest on the endowment is available to fund capital projects. What is the university's weighted average cost of capital? Round your answer to one decimal place (x.x%)