Consider the following information for Watson Power Co.: Debt: Common stock: 3,000 7 percent coupon bonds outstanding, $1,000 par value, 19 years to maturity, selling for 104 percent of par; the bonds make semiannual payments. 60,000 shares outstanding, selling for $64 per share; the beta is 1.17. 9,500 shares of 5.5 percent preferred stock outstanding, currently selling for $106 per share. 8 percent market risk premium and 5.5 percent risk-free rate. Preferred stock: Market: Assume the company's tax rate is 32 percent. Find the WACC