The Whitehorse Book Company has 140 million shares outstanding.The market price of one share is currently $2.The company’s debentures are publicly traded and their market price is equal to 93% of its face value.The debentures have a total book value of $50 000 000 and the current yield to maturity of corporate debenture is 12% per annum.The risk-free rate is 8.50% and the market risk premium is 5.20%.Market analysts estimated that the Whitehorse Book Company has a beta of 0.90.The corporate tax rate is 30%.What is the company’s weighted average cost of capital (WACC)under the classical tax system?