The Jackson Company wants to purchase an asset costing $6 million. The firm just reported a net income of $10 million; its payout ratio is 10 percent; and the firm has 1 million shares of stock outstanding. Jackson's market value capital structure, shown below, is considered to be optimal (assume that there is no short-term debt): Long-term Debt $18,905,100 Equity 12,600,000 Jackson expects its earnings (and therefore its dividends) to continue to grow at their historical rate of 4 percent per year for the indefinite future. The firms equity has a beta of 1.24. The current risk-free rate is 5 percent and the expected return on the market portfolio is 11 percent. Jackson's tax rate is 22 percent. The firm has 17,500 bonds outstanding, paying 8% coupons semi-annually and maturing in 12 years. Calculate Jackson's weighted average cost of capital. (PLEASE SHOW WORK)