Barclays Corporation has debt with both a face and a market value of $1,900,000. This debt has a coupon rate of 6 percent and pays interest annually. The expected earnings before interest and taxes are $855,000, the tax rate is 25 percent, and the unlevered cost of capital is 10.5 percent. What is the firm's cost of equity?

		11.64%
		11.87%
		11.94%
		12.00%
		12.55%