Pfd Company has debt with a yield to maturity of

6.3 %

,

a cost of equity of

13.1 %

,

and a cost of preferred stock of

9.3 %

.

The market values of its debt, preferred stock, and equity are

$ 14.8

million,

$ 3.1

million, and

$ 16.4

million, respectively, and its tax rate is

35 %

.

What is this firm's after-tax WACC?

Note: Assume that the firm will always be able to utilize its full interest tax shield.

Pfd's WACC is

nothing

%.

(Round to two decimal places.)