What is this firm WACC

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UK firm has issued 1 million shares which have a book value of £5 per share. The firm's market to book ratio is 2.5. It has several 10 year bonds outstanding which are trading at 108.50 and have an annual coupon of 5%. The book value of its debt is £7 million. If its cost of equity is 10.25%. If the corporate tax rate is 30%, what is this firm's WACC? Express your answer as a percentage, rounded to 2 decimal places, eg. 5.55.

Reference no: EM131997986

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