company has a capital structure consisting of 59% debt and 41% common stock. The companys CFO has obtained the following information:

• The before-tax YTM on the companys bonds is 8.75%.
• The companys common stock is expected to pay a $3.75 dividend at year end (D1 = $3.75), and the dividend is expected to grow at a constant rate of 4.7% a year. The common stock currently sells for $63 a share.
• Assume the firm will be able to use retained earnings to fund the equity portion of its capital budget.
• The companys tax rate is 25%.

What is the companys WACC?