Nautilus Marine Engines's negative earnings per share were the result of and accounting write$-$off last year. Without the write$-$off, EPS for the company would have been $$1\mathrm{.}60.$ Last year, Ragan had an EPS of $$4\mathrm{.}54$ and paid a dividend to Carrington and Genevieve of $ $60,000$ each. The company also had a return on equity of percent. Larissa tells Dan that a required return for Ragan of $18$ percent is appropriate: