Johnston Corp has 10,000 bonds outstanding that were issued for 30 years ten years ago at a par value of $1,000 and a coupon rate of 12%. Similar bonds are now selling to yield 9%. It issued 40,000 shares of 6% preferred stock at a $100 par value eight years ago. Those preferred shares are now selling to yield 10%, and are subject to an 8% flotation cost. There are currently 2,500,000 of common stock outstanding selling for $11.60 a share. Johnston's cost of equity is 14% Develop Johnston's market value based capital structure, and calculate its WACC. Assume equity capital comes from retained earnings, and the marginal tax rate is 40%.