4. Finding the WACC Given the following information for Watson Power Co, find the WACC. Assume the company's tax rate is 21 percent. Debt: 15,000 bonds with a 5.8 percent coupon outstanding, $1,000 par value, 25 years to maturity, selling for 108 percent of par; the bonds make semiannual payments. Common stock: 575,000 shares outstanding, selling for $64 per share; the beta is 1.09 Preferred stock: 35,000 shares of 2.8 percent preferred stock outstanding, currently selling for $65 per share. 7 percent market risk premium and 3.2 percent risk-free rate. Market