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Reliable Electric is a regulated public utility, and it is expected to provide steady growth of dividends of 5% per year for the indefinite future.

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Reliable Electric is a regulated public utility, and it is expected to provide steady growth of dividends of 5% per year for the indefinite future. Its last dividend was $5 per share; the stock sold for $60 per share just after the dividend was paid. What is the company's cost of equity? (Round your answer to 2 decimal places.) Cost of equity %

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