Question $6$

$2$ pts

Baron Corporation has a target capital structure of $65$ percent common stock, $10$ percent preferred stock, and $25$ percent debt. Its cost of equity is $12$ percent, the cost of preferred stock is $6$ percent, and the pretax cost of debt is $7$ percent. The relevant tax rate is $24$ percent. The company's weighted average cost of capital $($WACC$)$ is $q,$ percent. $($Type your answer in percent without the $\text{'}\%\text{'}$ sign and round it to the nearest two decimals.$)$