Snap, Crackle, Pop a national foods distributor - is seeking to estimate its WACC. As part of the process, youve been tasked to estimate the cost of their common equity.

Their common stock currently sells for a market price of $34 per share. There are 2.22 million shares outstanding. Given a cash flow timeline of expected dividend payments from now to eternity, youve determined that the effective annual IRR of the stock is 9.33% per year.

Youve also estimated the beta of the stock to be 1.31. The current risk free rate is 2.3% per year and the expected return on the broad stock market is 10.1%. The volatility of the broad stock market over the last 50 years has been 21.9% on an annual basis.

Determine the most precise estimate of the cost of equity.

Enter your answer as a PERCENT, not as a decimal, with at least 4 digits of precision.

7B) App-It, an App development company, is seeking to estimate the 95% confidence interval for the beta of their common equity.

Their common stock currently sells for a market price of $41 per share. There are 3.38 million shares outstanding.

Youve estimated the beta of the stock to be 1.38. The standard error of the estimate of the beta is 0.43. The current risk free rate is 2.5% per year and the expected return on the broad stock market is 10.8%. The volatility of the broad stock market over the last 40 years has been 19.1% on an annual basis.

Assuming that beta is distributed normal, determine the UPPER-bound of the 95% confidence interval of beta.

Provide an upper bound with at least 4 digits of precision.