Finishing the sequence of 3 project-specific WACC questions... (again you're working as a financial analyst for Tesla).

Assume your calculated r_e for the project is 7.4%. The CFO also tells you that company's r_d equals 4.2%. Remembering that the project is financed by half debt and half equity, and that the company tax rate is 20%, what is the WACC for the project? Answer should include four digits to the right of the decimal point.