Over One Inc. considers two investment projects over the period of 6 years.

The first investment is to build a rubber company. The initial investment is $220 million. The projected annual cash flows are as follows: $500million, $83.5million, $152.4million, $110.2million, $99.3million and $72.5 million.

The second investment is to produce a series of singing aircond cleaners. The initial investment is $350 million. The projected annual cash flows from this investment are estimated to be $87.3million, $92.5 million, $76.2 million, $100.1 million, $110 million and $75.5 million

Over One Inc. has a market capitalization of $210 million and $69 million in debt. Based on the companys current credit position and market scenario, the cost of equity is assumed to be 11% while debt cost of capital is 8%. Assuming a tax rate of 25%, calculate the after-tax weighted average cost of capital (WACC).