Given the following information for lightening power company find the WACC. assume the company's tax rate is 21 percent.

Debt : 16,000 6.2 percent coupon bonds outstanding , $1000 par value , 25 years to maturity , selling for 108 percent of par; the bonds make semiannual payments.

common stock : 535,000 shares outstanding, selling for $81 per share ; beta is 1.20

preferred stock : 20,000 shares of 4.2 percent preferred stock outstanding , currently selling for $92 per share. the par value is $100

Market : 7 percent market risk premium and 3.1 percent risk free rate