Carla Vista$$Wok Co$.$ is expected to pay a dividend of

$$3\mathrm{.}0$one year from today on its common shares. That dividend

is expected to increase by$8\mathrm{.}00$percent every year

thereafter. If the price of$$Carla Vista$$common stock is

$$20\mathrm{.}00,$ what is the cost of its common equity capital?