. A corporation has 10,000 bonds outstanding with a 8% annual coupon rate pay quarterly, 9 years to maturity, a $1,000 face value, and a $1,100 market price. The companys 100,000 shares of preferred stock pay a $3 annual dividend, and sell for $60 per share. The companys 500,000 shares of common stock sell for $25 per share and have a beta of 1.5. The risk free rate is 8%, and the risk premium is 8%. Assuming a 40% tax rate, what is the companys WACC? Please do this step by step. Thank you!