Consider the following information for Evenflow Power Co.,

Debt: 4,000 5.5 percent coupon bonds outstanding, $1,000 par value, 17 years to maturity, selling for 104 percent of par; the bonds make semiannual payments.

Common stock: 96,000 shares outstanding, selling for $56 per share; the beta is 1.17.

Preferred stock: 12,500 shares of 4.5 percent preferred stock outstanding, currently selling for $106 per share.

Market: 6.5 percent market risk premium and 4.5 percent risk-free rate.

Assume the company's tax rate is 31 percent.

What is the WACC. (Do not round your intermediate calculations.)

7.87% 8.27% 7.99% 8.48% 7.77%