Elegant Dcor sold 60,000 shares of common stock for $80 per share. Expected dividend for year 1 is $2.5 and there is 6 percent growth in the dividend payment. 45,000 shares of preferred stock are sold at $110 per share with $3 flotation cost. Preferred stock dividend is $ 4. Elegant Dcor sold 4000 bonds of 5 percent at a price of $1200 each bond. Yield to maturity is 6.5 percent and corporate tax rate is 35 percent.

Calculate the weighted average cost of capital (WACC)