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Caspian Sea Drinks is financed with 70.00% equity and the remainder in debt. They have 12.00-year, semi-annual pay, 5.01% coupon bonds which sell for 98.00%

Caspian Sea Drinks is financed with 70.00% equity and the remainder in debt. They have 12.00-year, semi-annual pay, 5.01% coupon bonds which sell for 98.00% of par. Their stock currently has a market value of $24.04 and Mr. Bensen believes the market estimates that dividends will grow at 3.79% forever. Next years dividend is projected to be $2.36. Assuming a marginal tax rate of 23.00%, what is their WACC (weighted average cost of capital)?

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