Baron Corporation has a target capital structure of 75 percent common stock, 5 percent preferred stock, and 20 percent debt. Its cost of equity is 2.26 percent, the cost of preferred stock is 2.73 percent, and the pretax cost of debt is 5.46 percent. The relevant tax rate is 21 percent.

What is the company's WACC?

(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16; exclude the percent sign, %.)