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Stock in Daenerys Industries has a beta of 1.55. The market risk premium is 7 percent, and T-bills are currently yielding 3 percent. The company's

Stock in Daenerys Industries has a beta of 1.55. The market risk premium is 7 percent, and T-bills are currently yielding 3 percent. The company's most recent dividend was $1.9 per share, and dividends are expected to grow at a 6.5 percent annual rate indefinitely. If the stock sells for $32 per share, what is your best estimate of the company's cost of equity?

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