Sorensen Systems Inc. is expected to pay a $2.00 dividend at year end (D 1 = $2.00), the dividend is expected to grow at a constant rate of 5.0% a year, and the common stock currently sells for $50.00...

Sorensen Systems Inc. is expected to pay a $2.00 dividend at year end (D₁
= $2.00), the dividend is expected to grow at a constant rate of 5.0% a year, and the common stock currently sells for $50.00 a share.  The before-tax cost of debt is 6%, and the tax rate is 41%.  The target capital structure consists of 40% debt and 60% common equity.  What is the company’s WACC if all the equity used is from retained earnings?