Titan Mining Corporation has 14 million shares of common stock outstanding, 900,000 shares of preferred stock outstanding that pays a 9% annual dividend and 210,000, 10% semiannual bonds outstanding. The common stock currently sells for $34 per share and has a beta of 1.15, the preferred stock currently sells for $80 per share, and the bonds have 17 years to maturity and sell for 91% of par. The market risk premium is 11.5%, T-bills are yielding 7.5%, and the firm's tax rate is 32%. What discount rate should the firm apply to a new project's cash flows if the project has the same risk as the firm's typical project?