Martin Enterprises has a target capital structure of 35% long term debt, 10% preferred stock, and the balance common stock. Currently they have 14-year, 7.8% coupon (semiannual) bond priced at $1,065. T-bills currently yield 2.5%. The company is 40 percent more risky than the overall market, which is expected to earn 7.5% going forward. Martin's preferred shares, priced at $72, currently pay $4.32/share dividend. With a tax rate of 34%, what is Martin's WACC?