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AllCity Inc. is financed 35% with debt, 10% with preferred stock, and 55% with common stock. Its pre-tax cost of debt is 6%; its preferred

AllCity Inc. is financed 35% with debt, 10% with preferred stock, and 55% with common stock. Its pre-tax cost of debt is 6%; its preferred stock pays an annual dividend of2.75 $ and is priced at 27$. It has an equity beta of 1.3. Assume the risk-free rate is 2%, the market risk premium is 6%, and AllCity's tax rate is35 %. What is its after-tax WACC?

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