CTO Corporation has 2,000 bonds oustanding with a $1,000 face value, a 7% coupon, 12 years to maturity, annual interest payments, and sells at 98% of the face value. The firm also has 50,000 shares of common stock outstanding at a market price of $43 a share and a beta of 1.62. The risk-free rate is 4%, the market return is 11%, and the tax rate is 35%. What is WACC?

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