A firm is raising funds by selling a package of equity, debt and preferred stock.

The details of the package are:

1) Equity sold for $20 million. Expected perpetual dividends to buyers is $2 million per year.

2) Preferred stock sold for $10 million. Expected perpetual dividends to buyers 6.94% per year.

3) Debt sold for $28.74, perpetual risk-less (guaranteed) coupon payments to be $1.5 million a year.

Assume no taxes and other Modigliani-Miller assumptions also hold.

What is the WACC for the firm?

Round the answer to two decimals in percentage form