Given the following information for Dunhill Power Co. find the WACC. Assume the companys tax rate is 35 percent.

Debt: 3,000 8 percent coupon bonds outstanding, $1,000 par value, 20 years to maturity, selling for 103 percent of par; the bonds make semiannual payments.

Common Stock: 90,000 shares outstanding, selling for $45 per share; the beta is 1.20.

Preferred Stock: 13,000 shares of 7 percent preferred stock outstanding, currently selling for $108 per share

Market: 8 percent market risk premium and 6 percent risk-free rate.