Hewler Corp has debt with both a book and a market value of $400,000. This debt has a coupon rate of 6% and pays interest annually. The expected earnings before interest and taxes are $50,000, the tax rate is 30%, and the unlevered cost of capital is 8%. Calculate the cost of equity for the levered firm according to MM proposition II with taxes. (Do not round intermediate calculations. Round the final answers to 2 decimal places. Omit % sign in your response. if your answer is 72.92%, enter 72.92)