You have collected the following information regarding your company:

The company's target capital structure is $70$ percent equity, $30$ percent debt.

The company's forecasted capital budget for the coming year is $$50,000,000.$

The company has $10-$year bonds outstanding selling at par that have an annual coupon rate of $8\mathrm{.}00\%($paid semi$-$annually$).$ New bonds will be issued as a private placement and, because total debt will increase, will require a $50$ basis$-$point risk premium above the yield on the firm's current debt.

The firm's tax rate is $40$ percent.

The company's stock has a beta of $2\mathrm{.}20.$ The risk$-$free rate is currently $7$ percent, and the market$-$risk premium is $5$ percent.

The company's dividend next year $(D_1)$ is forecasted to be $$4\mathrm{.}50$ a share. The company expects that its dividend will grow at a constant rate of $3$ percent a year. The stock price is $$30\mathrm{.}00.$

The company anticipates that it will add $$5,000,000$ to its retained earnings account over the coming year.

If the company needs to raise new common stock over the year, its investment bankers anticipate that the total flotation cost for new common stock will equal $15\mathrm{.}00$ percent of the issue price per share. Further, because of downward price pressure, the issue price of the stock will be $$2\mathrm{.}00$ less than the current price.

CAPM is the correct model to use for the cost of retained earnings. The DCF $/$ Gordon Growth equation with flotation costs is the correct framework to use for the cost of new equity.

Given this information, determine what the company's average cost of capital will be for the entire $$50,000,000$ to be raised. Enter your answer in decimal format, truncated to $4$ decimal places. For example, if your answer is $10\mathrm{.}876\%,$ enter $"0\mathrm{.}1087".$