problem: James Sound Systems has 210,000 shares of common stock outstanding at a market price of $36 a share. Last month, James paid a yearly dividend in the amount of $1.593 per share. The dividend growth rate is 4 percent. James's also has 6,000 bonds outstanding with a face value of $1,000 per bond. The bonds carry a 7 percent coupon, pay interest yearly, and mature in 4.89 years. The bonds are selling at 99% of face value. The company's tax rate is 34 percent. Determine James's weighted average cost of capital?