Problem 13-2 WACC (LO1) Here is some information about Stokenchurch Inc.: Beta of common stock = 1.5 Treasury bill rate = 4% Market risk premium = 6.8% Yield to maturity on long-term debt = 9% Book...

Here is some information about Stokenchurch Inc.:

Beta of common stock = 1.5

Treasury bill rate = 4%

Market risk premium = 6.8%

Yield to maturity on long-term debt = 9%

Book value of equity = $370 million

Market value of equity = $740 million

Long-term debt outstanding = $740 million

Corporate tax rate = 21%

What is the company’s WACC?
(Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)