ABC Inc. has a the capital structure shown below.

Liabilities	$106,962,539
Stockholders' Equity	$96,450,383

ABC Inc. will raise additional capital for new projects this year, in the amount of $44,355,569.

The firm believes, however, that a capital structure with 57.4% of debt is ideal and will seek to implement that change when they raise capital.

Currently, the firm has a beta of 0.5. The risk-free rate is at 3.2%, and the market risk premium is currently 8%.

The company will issue bonds with a par value of $1,000. The bonds will sold with coupon payments of $40, each paid on a semi-annual basis. They will be sold at par and have a maturity of 14.

ABC Inc. expects to pay 5% on their state taxes, and 17% on their federal taxes.

What should the firm estimate as its new weighted average cost of capital?

Do not round any intermediate calculations. Please round your answer to the nearest dollar.