A firm currently has a debt-equity ratio of 1/3. The debt, which is virtually riskless, pays an interest rate of 7.5%. The expected rate of return on the equity is 14%. What would happen to the expected rate of return on equity if the firm reduced its debt-equity ratio to 1/4? Assume the firm pays no taxes. (DO NOT ROUND INTERMEDIATE CALCULATIONS. ROUND YOUR ANSWER TO 2 DECIMAL PLACES.) EXPECTED RATE OF RETURN EQUITY ______%