A company just issued $493000 of perpetual 7% debt and used the proceeds to repurchase stock. The company expects to generate 106000 of EBIT in perpetuity. The company distributes all its earnings as dividends at the end of each year. The firms unlevered cost of capital is 13% and the tax rate is 40%. What is the required return on the firms levered equity (report the cost of equity as a decimal number with four decimal places such as 0.1234)?