Steve's Specialties, Inc. paid its dividend yesterday, which as $ 1.50. The dividend has been growing at a rate of 0.010 and is expected to continue indefinitely at that rate. Steve's common stock is currently trading at 23.00 per share. The firms beta is 0.96. Treasuries (T-bills) are currently yielding 0.030, Average return on the market is 0.12. Using the CAPM, what is Steve's cost of retained earnings? (Answer in decimal form to 4 places. Do not use a percent sign, i.e 0.9999)