In the calculation of the weighted average cost of capital (WACC) Isengard Suppliers has requested that you calculate the return on its preference shares. Isengard's preference shares current market price is $116 and they were issued at a dividend rate of 10.9% p.a. of $84 face value. What is the required return on one of Isengard's preference shares? Record your answer in decimals and to four decimal places 0.0000 , e.g., your answer should be 0.034 not 3.40%