(Weighted average cost of capital) in the spring of last year, Tempe Steel learned that the firm would need to re-evaluate the company/s woighted average cost of capital following a signifeant issue of debt. The firm now has financed 46 percent of its assots using debt and 54 pecent using equity. Calculate the firmis weighted average cost of capial where the frm's borrowing rase cn debt is 8.4 percent, it faces a 35 percent tax rase, and the common stocktolders require a 20.5 percent rete of foturn. Tempe Steer's weighted average cost of captal is %. (Round to three decimal places.)