Given the following information:

Percent of capital structure:

Preferred stock	35	%
Common equity (retained earnings)	45
Debt	20

Additional information:

Corporate tax rate		35	%
Dividend, preferred	$	6.00
Dividend, expected common	$	2.50
Price, preferred	$	97.00
Growth rate		6	%
Bond yield		9	%
Flotation cost, preferred	$	10.50
Price, common	$	84.00

Calculate the weighted average cost of capital for Digital Processing Inc. (Do not round intermediate calculations. Input your answers as a percent rounded to 2 decimal places.)

Given the following information:

Percent of capital structure:

Preferred stock	35	%
Common equity (retained earnings)	45
Debt	20

Additional information:

Corporate tax rate		35	%
Dividend, preferred	$	6.00
Dividend, expected common	$	2.50
Price, preferred	$	97.00
Growth rate		6	%
Bond yield		9	%
Flotation cost, preferred	$	10.50
Price, common	$	84.00

Calculate the weighted average cost of capital for Digital Processing Inc. (Do not round intermediate calculations. Input your answers as a percent rounded to 2 decimal places.)