• The firms target capital structure is 60% common stock, 30% debt, and 10% preferred stock.
• Debt: 7,000 5.0% coupon bonds outstanding, with 11 years to maturity, $1,000 par value and a quoted price of 106.25% of par value. These bonds pay interest semiannually.
• Common Stock: 300,000 shares of common stock selling for $65.40 per share. The stock has a beta of 1.44.
• Preferred Stock: 8,500 shares of preferred stock selling at $96.00 per share and pay annual dividends of $5.70.
• Market: An 8.6 percent expected return, a 2.6 percent risk-free rate, and a 25 percent tax rate.

Calculate the firm's WACC