Find the WACC.

Consider the following information for Watson Power Co.: Debt: Common stock: Preferred stock: Market: 5,500 8.5 percent coupon bonds outstanding, $1,000 par value, 21 years to maturity, selling for 104 percent of par; the bonds make semiannual payments. 126,500 shares outstanding, selling for $64 per share; the beta is 1.18. 17,000 shares of 7 percent preferred stock outstanding, currently selling for $107 per share. 9 percent market risk premium and 6.5 percent risk-free rate. Assume the company's tax rate is 34 percent. Find the WACC.