Builtrite's common stock is currently selling for $44 a share and the firm just paid an annual dividend of $1.60 per share. Management believes that dividends and earnings should grow at 9% annually. Since new stock would need to be sold to finance an expansion, Builtrite expects flotation costs to be 5% of the expected selling price of $44 a share. Based on this, and a marginal tax rate of 34%, what is the cost of new common stock? 8.69% 13.17% 12.83% 8.47%