A firm has 10000 bonds outstanding, selling at 97%, the bonds have 7 years to maturity, and pay 8% semi annual coupons The firm has 25000 preferred shares and 500000 common outstanding The preferred shares yield 9% and sell at par The commons currently pay quarterly dividends of $025, and the growth rate of dividends is estimated to be 4% the common shares are selling for $1360 the corporate tax rate is 30% what is the WACC of the firm?
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