RFL$.$ is establishing an appropriate discount rate to apply to this year$$s investment projects. The controller has suggested the weighted average cost of capital $($WACC$)$ would be an appropriate rate and has gathered the following information as a start to finding the WACC:

Selected information from the December $31,2022$ Balance Sheet

Bonds

$$20,000,000$

Preferred shares $(45,000$ shares issued and outstanding$)$

$4,000,000$

Common shares $(5,000,000$ shares issued and outstanding$)$

$10,000,000$

Retained earnings

$16,000,000$

Total

$$50,000,000$

The bonds, which have $15$ years to maturity, have a coupon rate of $6\mathrm{.}0\%$ with interest paid semi$-$annually. Current market yields on similar bonds are currently $4\mathrm{.}5\%.$

The preferred shares with a fixed dividend $$7\mathrm{.}10$ per share currently trade at $$102\mathrm{.}00$ per share.

The common shares are currently trading at $$8\mathrm{.}00$ per share. The most recent dividend was $$0\mathrm{.}12$ per share with a projected annual growth rate of $10\%$ annually.

RFL$\text{'}$s tax rate is $35\%.$

Calculate the weighted average cost of capital of RFL$.$