You are given the following information for Lightning Power Co. Assume the company’s tax rate is 38 percent.
Debt: 10,000 6.5 percent coupon bonds outstanding, $1,000 par value, 30 years to maturity, selling for 108 percent of par; the bonds make semi annual payments.
Common stock: 370,000 shares outstanding, selling for $55 per share; the beta is 1.11.
Preferred stock: 15,000 shares of 5 percent preferred stock outstanding, currently selling for $75 per share.
Market: 6 percent market risk premium and 4.50 percent risk-free rate.
What is the company's WACC? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))
WACC= %