Consider the following information for Evenflow Power Co.,

Debt: 5,000 6 percent coupon bonds outstanding, $1,000 par value, 23 years to maturity, selling for 103 percent of par; the bonds make semiannual payments.

Common stock: 105,000 shares outstanding, selling for $61 per share; the beta is 1.1.

Preferred stock: 16,000 shares of 5 percent preferred stock outstanding, currently selling for $105 per share.

Market: 7.5 percent market risk premium and 4.5 percent risk-free rate.

Assume the company's tax rate is 34 percent.

Required: Find the WACC. (Do not round your intermediate calculations.)

8.65%

8.15%

9.02%

8.35%

8.25%