XYZ Corporation is in the process of determining its marginal cost of capital (MCC) in order to assess the viability of a new project. The company has just completed a $2 million bond issue with a yield to maturity of 6% and plans to issue equity amounting to $1 million at a market price of $25 per share. The expected dividend is $2 per share, with a growth rate of 5%. XYZ Corporation is analyzing whether the marginal cost of capital will affect the project's net present value.

Based on the information provided, determine the marginal cost of capital associated with the new financing.