A firm has debt of $$50$ million, preferred stock of $$1$ million, common stock of $$50$ million,

and a marginal tax rate of $35\%.$ The yield to maturity on the firm$$s debt is $8\mathrm{.}5\%.$ The firm$$s

cost of preferred equity is $10\%.$ The firm$$s common stock has a beta of $1\mathrm{.}2,$ Treasury bills

currently offer a yield to maturity of $5\%,$ and the expected return on the stock market is $12\%.$

Calculate the firm$$s after$-$tax WACC