The following facts describe Larsen & Toubro Ltd's component costs of capital and capitalstructure. Based on the information given, calculate Larsen & Toubro's WACC.

Component Costs of Capital (%)

Cost of equity based on the CAPM: 15.6

Pretax cost of debt: 8.28

Tax rate: 30

Target weight in capital structure:

Equity 80, Debt 20

The prevailing risk-free rate is 6.1%. Calculate adjusted beta of L&T based on Blume's (1971) framework, if the market return is 10.2%.