Question: Fusion Packaging is financed with 55% equity and 45% debt. The required rate of return on its debt is 6.0% and 11.1% on its equity.

Fusion Packaging is financed with 55% equity and 45% debt. The required rate of return on its debt is 6.0% and 11.1% on its equity. If the tax rate is 20%, what is Fusion's weighted-average cost of capital? Enter your answer as a percentage rounded to 2 decimal places. (An answer of 23.456% would be entered as 23.46).

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