Milton Parker has a capital structure that consists of $7 million of debt, $2 million of preferred stock, and $11 million of common equity, based upon current market values. Parker's yield to maturity on its bonds is 7.4% and investors require an 8% return on Parkers preferred and a 14% return on Parkers common stock. If the tax rate is 35%, what is Parker's WACC? ___ 12.25% 10.18% 8.12% 7.21%