Stock in Dragula Industries has a beta of 1.1. The market risk premium is 7 percent, and T-bills are currently yielding 4.5 percent. The companys most recent dividend was $1.70 per share, and dividends are expected to grow at a 6 percent annual rate indefi nitely. If the stock sells for $39 per share, what is your best estimate of the companys cost of equity?how to recognize best estimate equity