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Stock in Country Road Industries has a beta of 0.82. The market risk premium is 7 percent, and T-bills are currently yielding 4 percent. The

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Stock in Country Road Industries has a beta of 0.82. The market risk premium is 7 percent, and T-bills are currently yielding 4 percent. The company's most recent dividend was $1.5 per share, and dividends are expected to grow at a 5 percent annual rate indefinitely. If the stock sells for $44 per share, what is your best estimate of the company's cost of equity? (Do not round intermediate calculations. Round the final answers to 2 decimal places.)

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