- Titan Mining Corporation has 9 million shares of common stock outstanding, 250,000 shares of preferred stock outstanding with a dividend of $6.00 per share, and 105,0007.5% annual bonds outstanding, par value $1,000 each. The common stock currently sells for $34 per share and has a beta of 1.25, the preferred stock currently sells for $91 per share, and the bonds have 15 years to maturity and sell for $930. The market risk premium is 8.5%, T-bills are yielding 5%, and Titan Mining's tax rate is 35%. What is the required return on debt, rD? Express your answer as a percentage with two decimal places. (For example, 12.34\% would be 12.34.)