Calculate WACC for SVS

SVS has $5$ million common shares outstanding which sell for $$24$ per share. SVS

management is expected to set the next annual dividend at $$2\mathrm{.}25$ per share, and

investors and analysts expect all future dividends to grow by $8\%$ per year, indefinitely.

The current risk$-$free rate is $5\mathrm{.}5\%,$ the expected return on the market is $11\%$ and the

stock has a beta of $2\mathrm{.}2.$

SVS has $1$ million shares of $5\%$ preferred stock outstanding, selling at $$44$ per share.

SVS has $150,000,15-$year, $9\%$ bonds outstanding, currently selling at $112.$

SVS is in the $21\%$ tax bracket and can take full advantage of any interest tax shields.

Calculate the firm's WACC.