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Common equity investors of Adventure Outfitter Corp. require a 16.3% return. The flotation costs of selling the stock amount to 5.7% of the selling price.

Common equity investors of Adventure Outfitter Corp. require a 16.3% return. The flotation costs of selling the stock amount to 5.7% of the selling price. The dividends are expected to grow at the 4% annual rate forever. Find the cost of new equity for the company, in %, to the nearest 0.01% (drop the % symbol when recording the answer).

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