Dinklage Corporation has $5$ million shares of common stock outstanding. The current share price is $$84,$ and the book value per share is $$7.$ The company also has two bond issues outstanding. The first bond issue has a face value of $$60$ million, has a $7$ percent coupon, and sells for $94$ percent of par. The second issue has a face value of $$35$ million, has a $8$ percent coupon, and sells for $107$ percent of par. The first issue matures in $22$ years, the second in $4$ years.

The most recent dividend was $$5\mathrm{.}6$ and the dividend growth rate is $8$ percent. Assume that the overall cost of debt is the weighted average of that implied by the two outstanding debt issues. Both bonds make semiannual payments. The tax rate is $35$ percent.

What is the company's WACC?

Multiple Choice

$13\mathrm{.}25\%$

$7\mathrm{.}56\%$

$6\mathrm{.}01\%$

$13\mathrm{.}57\%$

$6\mathrm{.}79\%$