QUESTION 1 Staples-R-Us, Inc. has 140,000 shares of common stock outstanding at a market price of $27 a share. Next year's annual dividend is expected to be $1.43 a share and the dividend growth rate is 2%. The company also has 2,500 bonds outstanding with a face value of $1,000 per bond. The bonds have a pre-tax yield of 7.35% and sell at 98.2% of face value. The company's tax rate is 21%. What is the weighted average cost of capital? [Enter your answer as a percent with two decimal places. Do not use the percent sign. So, if your answer is 10.18 percent then just enter your answer as 10.18) 6.71