Dobris Networks Inc. provides network traffic awareness, analysis, and control solutions for broadband service providers in USA. The company plans to expand its business in Austria. The directors of the company want a group of top level managers to take a call on the expansion strategy by studying the situation on hand. The task assigned to the group is an example of tasks.

Western electric has 32,000 shares of common stock outstanding at a price per share of $79 and a rate of return of 13.00 percent. the firm has 7,300 shares of 7.80 percent preferred stock outstanding at a price of $95.00 per share. the preferred stock has a par value of $100. the outstanding debt has a total face value of $404,000 and currently sells for 111 percent of face. the yield to maturity on the debt is 8.08 percent. what is the firm's weighted average cost of capital if the tax rate is 39 percent?