You are starting an athletic clothing chain. You have chosen Eastern Mountain Sports as your comparable. EMS has an equity beta of 1.80. EMS also has $80M in equity and $40M in debt, which is has a yield of 8%. The probability of default for the debt is 5% and the loss given default is 60%. The expected return of the market is 7% and the risk-free rate is 2%. Your firm is made up of $60M in equity and $20M in debt, which is risk-free. Assume the corporate tax rate is 30%. Compute the WACC for your clothing chain.