Stock in Daenerys Industries has a beta of 0.87. The market risk premium is 8.5 percent, and T-bills are currently yielding 4 percent. The company's most recent dividend was $1.7 per share, and dividends are expected to grow at a 5.5 percent annual rate indefinitely. If the stock sells for $33 per share, what is your best estimate of the company's cost of equity?