Lory Company had net earnings of $147,000 this past year of which $50,200 was paid out in dividends. The company's equity was $1,577,500. Lory has 210,000 shares outstanding with a current market price of $13.63 per share. Both the number of shares and the dividend payout ratio are constant. What is the required rate of return if the growth rate is 7.6 percent?