Salt Springs stock has a beta of 1.7 and the expected return on the market is 14 percent. The firm just paid a dividend of $2.25 per share and its stock price is $38.00 per share. The annual growth rate of the firms dividends is 5 percent. What is Sale Springs cost of common equity?

Group of answer choices

11.2 percent

None of these are correct.

8.8 percent

10.9 percent

22.4 percent