AllCity, Inc., is financed

41%

with debt,

9%

with preferred stock, and

50%

with common stock. Its cost of debt is

6.5%,

its preferred stock pays an annual dividend of

$2.55

and is priced at

$33.

It has an equity beta of

1.18.

Assume the risk-free rate is

2.5%,

the market risk premium is

7.3%

and AllCity's tax rate is

35%.

What is its after-tax WACC?

Note: Assume that the firm will always be able to utilize its full interest tax shield.

The WACC is

nothing%.

(Round to two decimal places.)