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You are given the following information for Tara Ita Power Co . Assume the company s tax rate is 2 1 percent. Debt: 9 0

You are given the following information for Tara Ita Power Co. Assume the companys tax rate is 21percent. Debt: 90007percent coupon bonds outstanding, $1,000 par value, 20 years to maturity, selling for 106 percent of par; the bonds make semiannual payments. Common stock: 420,000 shares outstanding, selling for $60 per share; the beta is 1.03. Market: 9 percent market risk premium and 5 percent risk-free rate. What is the company's WACC?

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