MarylandLight, a U.S. lightmanufacturer, is considering an investment in Japan. The dollar cost of equity for Maryland is 11.00 %. You are in the corporate treasurydepartment, and you need to know the comparable cost of equity in Japanese yen for a project with free cash flows(FCFs) that are uncorrelated with spot exchange rates. Therisk-free interest rates on dollars and yen are r$=5.00% and r=1.00%, respectively. Maryland is willing to assume that capital markets are internationally integrated. What is the yen cost ofequity? (Round to three decimal places)