(Weighted average cost of capital) The target capital structure for J&J Manufacturing is 45% ordinary shares, 11% preference shares and 44% debt. If the cost of ordinary shares for the firm is 20.5 %, the cost of preference shares is 12.6% and the before-tax cost of debt is 10.8%, what is J&J's cost of capital? The firm's tax rate is 30%.

J&J's cost of capital is

%. (Round to three decimal places.)