Eaton Electronic Company$$s treasurer uses both the capital asset pricing model and the dividend valuation model to compute the cost of common equity $($also referred to as the required rate of return for common equity$).$

Assume:

Rf$=3\%$

Km$=8\%$

$\backslash$beta $=1\mathrm{.}2$

D$1=$$$0\mathrm{.}35$

P$0=$$$14$

g$=8\%$

Compute Ki

$($required rate of return on common equity based on the capital asset pricing model$).$

Note: Do not round intermediate calculations. Input your answer as a percent rounded to $2$ decimal places.

Compute Ke

$($required rate of return on common equity based on the dividend valuation model$).$

Note: Do not round intermediate calculations. Input your answer as a percent rounded to $2$ decimal places.