ACB Inc. has 100,000 bonds outstanding that have 12 years of life remaining and carry a10% coupon (paid semi-annually). The firm also has 8 million shares of preferred stock thatpays a dividend of $2 per share. There are 50 million shares of common stock outstanding;the common stock has a beta of 1.5, the risk-free rate is 2% and the market risk premium is6%. The bonds are currently trading at $1,447.12 each, preferred stock at $25 per share andcommon stock at $7.50 per share. If the tax rate is 21%, what is ACB's WACC?