The firm's target capital structure is: 40% debt, 30% preferred shares and 30% common equity. The cost of debt is 4.35% The cost of preferred shares is 6.10% The cost of common shares is 6.90% The weighted average cost of capital formula is: ka - Wax ka + Wp x kp + Wexke Compute the weighted average cost of capital. Round your answer to two decimal places