Zaldy Photo Studio Inc. reported earnings available to common stock of $4,200,000 last year. From those earnings, the company paid a dividend of $1.26 on each of its 1,000,000 common shares outstanding. The capital structure of the company includes 40% debt, 10% preferred stock, and 50% common stock. It is taxed at a rate of 40%. If a underpricing and floatation costs on new shares of common stock amount to $7.00 per share, what is the company's cost of new common stock financing?