Consider the following information for Watson Power Company:

Debt:	3,000 6 percent coupon bonds outstanding, $1,000 par value, 23 years to maturity, selling for 104 percent of par; the bonds make semiannual payments.
Common stock:	63,000 shares outstanding, selling for $59 per share; the beta is 1.08.
Preferred stock:	8,500 shares of 4.5 percent preferred stock outstanding, currently selling for $107 per share.
Market:	8 percent market risk premium and 4 percent risk-free rate.

Assume the company's tax rate is 34 percent.

Find the WACC.