Texas Instruments has 500,000 shares of common stock outstanding at a market price of $54 a share. Last month, Texas Instruments paid an annual dividend in the amount of $2.80 per share. The dividend growth rate is 5%. Texas Instruments also has 20,000 bonds outstanding with a face value of $1,000 per bond. The bonds carry a 5% coupon, pay interest annually, and mature in 15 years. The bonds are selling at 104% of face value. The company's tax rate is 25%. What is Texas Instruments' weighted average cost of capital?