The Paulson Company's year-end balance sheet is shown below. Its cost of common equity is 14%, its before-tax cost of debt is 12%, and its marginal tax rate is 25%. Assume that the firm's long-term debt sells at par value. The firm's total debt, which is the sum of the company's short-term debt and long-term debt, equals $1,121. The firm has 576 shares of common stock outstanding that sell for $4.00 per share.

Assets

Cash

Accounts receivable

Inventories

Plant and equipment, net

Total assets

$ 120

240

360

2,160

$2,880

Liabilities And Equity

Accounts payable and accruals

Short-term debt

Long-term debt

Common equity

Total liabilities and equity

$ 10

41

1,080

1,749

$2,880

=

Calculate Paulson' WACC using market-value weights. Do not round intermediate calculations. Round your answer to two decimal places.