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Consider following information about a company: The risk-free rate is 2 percent. The market return is 9 percent. The stock's beta is 1. The company's bonds mature in 20 years, have a 6 percent annual coupon, a par value of $100 and a market price of $100 The company's tax rate is 32 percent. The target capital structure consists of 0.41 percent debt and the balance is common equity. The company uses the capital asset pricing model to estimate the cost of equity, and it does not expect to issue any new common stock. What is the company's weighted average cost of capital? Report your answer in decimal form rounded to the fourth decimal place (e..g., 0.1234)