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IBM company's Stock and Bond information is provided below: Bond - Time to Maturity: 15-years, Annual Coupon Rate: 6.00%; PAR Value: $1000; Currently trading at:

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IBM company's Stock and Bond information is provided below: Bond - Time to Maturity: 15-years, Annual Coupon Rate: 6.00%; PAR Value: $1000; Currently trading at: $1275.54; Corp Tax Rate: 25.00% Preferred Stock - Preferred Stock Price: $65.00; Preferred Annual Dividend: $3.50 Common Stock (Method 1) -- Equity Beta: 1.3. Risk-free Rate: 3.00%; Market Risk Premium: 6.00% Common Stock (Method 2) - Long-run earnings growth: 7.00%; Expected Dividend (in one year): $2.20; Current Stock Price: $61.00 How much Is IBM's cost of common stock? Enter your answer in the following format: 0.1234 Hint Use "Method1'. Answer is between 0.095 and 0.1177

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