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A firm has a three divisions, Division 1, Division 2, and Division 3. Divisions 1 and 2 represent 37% and 33% of the firm's value,

A firm has a three divisions, Division 1, Division 2, and Division 3. Divisions 1 and 2 represent 37% and 33% of the firm's value, respectively. The firm's WACC is 9.8%, Division 1's WACC is 10%, and Division 2's WACC is 5.8%. Neither the divisions, nor the firm as a whole have any debt or preferred stock (i.e.: their capital structures are pure equity). If the risk free rate is 3.4%, and the Market Risk Premium is 6.3%, what is the WACC of Division 3?

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