Company X has a capital structure consisting of 20% debt and 80% equity. Its bond has a YTM of 7%. The risk free rate is 6% and long term market return in 12%. Beta was estimated at 0.9 and company tax rate is 20%. This is the base case scenario. Consider Scenario A in which Company X takes on more debt at a cost of 7.5% in order to take advantage of more tax shield. The resulting capital structure would be 50% debt and 50% equity. What is WACC for scenario A? (For ease of grading, please input numbers up to two decimal 2)