EcoTours, Inc.'s perpetual preferred stock currently trades at $89.95 per share, and it pays a $1.95 quarterly dividend. If the company were to sell a new preferred issue, it would incur flotation costs of 4.00% of the issue price. What is EcoTours' cost of preferred stock? Note: Enter your answer rounded off to two decimal points. Do not enter % in the answer box. For example, if your answer is 0.13456 or 13.456% then enter as 13.46 in the answer box.