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Other items Tax rate Long term growth 3.0% Unlevered beta 0.80 6.5% 2.0% 2.5% Long term ROCB Market risk premium Risk free rate Small firm

Other items Tax rate Long term growth 3.0% Unlevered beta 0.80 6.5% 2.0% 2.5% Long term ROCB Market risk premium Risk free rate Small firm premium Credit spread debt 10.0% Target debt/equity ratio 0.50 Bond rating BB+ 3.0% What is the cost of equity of this company in percentages (%)? Please round your answer to one decimal place, use a period to indicate the decimal place and provide your answer without a percentage sign (e.g. 13.6 instead of 13.6%). 25%

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