Consider a firm that has a debt$-$equity ratio of $\frac{1}{3}.$ The rate of return for debt is $6\%$ and the rate of return for equity is $13\%.$ The corporate tax rate is $38\%.$

What is the weighted average cost of capital? Enter your answer as a percentage and rounded to $2$ DECIMAL PLACES. Do not include the percentage sign

in your answer.

Enter your response below.

$\%$