A company with 8,000,000 shares outstanding and $1,000,000 in debt outstanding is considering changing to an all-equity capital structure. Under the proposed all-equity capital structure, there would be 10,000,000 shares outstanding. Assume the break-even EBIT is $300,000. What is the interest rate on the company's debt?

Do not round intermediate calculations. Round the final answer to 2 decimal places. Omit the % sign in your response. For example, an answer of 15.39% should be entered as 15.39.