Dinklage Corp. has 8 million shares of common stock outstanding. The current share price is $87, and the book value per share is $6. The most recent annual dividend, paid this morning, was $5.90 and the dividend growth rate is 7 percent.

The company also has two bond issues outstanding. The first bond issue has a face value of $75 million, a coupon rate of 10%, a yield to maturity of 10.34%, and sells for 97 percent of par. The second issue has a face value of $50 million, a coupon rate of 11%, a yield to maturity of 9.99%, and sells for 105 percent of par. The first issue matures in 25 years, the second in 7 years.

The tax rate is 35 percent. Calculate the companys WACC.