8 1 point Use the following information to answer questions 7-10. Consider the following capital structure for Zelda Corporation. The company has a publicly-traded bond issue, preferred shares, and common equity in its capital structure. The firm's tax rate is 35%. The risk-free rate is 7%. Details on the components of the capital structure are listed below. Debt: Fixed coupon-paying bond issue $80 million par 6% semiannual coupon Remaining maturity of 10 years Currently priced in market at 105% of par value Preferred equity: $100 million par 6% annual coupon Each $1,000 par issue is currently priced at $925. Common equity: 10 million shares outstanding Current share price: $40 Stock beta: 0.5 Market risk premium = 10% What is Zelda's cost of preferred equity? Enter your answer in decimal form out to four decimals. For example, you would enter .1050 (for 10.5%). Type your answer... 6