The simplified balance sheet for Rensselaer Felt (in thousands) is as follows:

Cash and marketable securities	$2,700		Short-term debt	$76,800
Accounts receivable	121,200		Accounts payable	63,200
Inventory	126,200		Current liabilities	$140,000
Current assets	$250,100
Property, plant, and equipment	305,600		Long-term debt	209,800
			Deferred taxes	46,200
Other assets	87,800		Shareholders' equity	247,500
Total	$643,500		Total	$643,500

The debt has just been refinanced at an interest rate of 6.50% (short term) and 8.50% (long term). The expected rate of return on the company's shares is 15.50%. There are 7.58 million shares outstanding, and the shares are trading at $44. The tax rate is 35%.

Calculate this company's weighed-average cost of capital.