Given the following information for Merrimack Company, find its WACC. Assume the company's tax rate is 25 percent. Debt: 37,000, 6.0 percent coupon bonds outstanding, $1,000 par value, 20 years to maturity, selling for 99 percent of par; the bonds make semiannual coupon payments. Common stock: 450,000 shares outstanding, selling for $86 per share; the beta is 1.80. Market: 7.0 percent market risk premium and 3.5 percent risk-free rate. (Hint: Determine the cost of debt as YTM then use the bond price to determine the market value of debt)