Suppose a firm has 1.5 billion shares outstanding and just reported a net income of $3 billion. The firm expects to maintain a dividend payout ratio of 60 percent on their earnings. If the firm's price-earnings ratio is 9.5, it leverage ratio is 4 and its return on equity is 8 percent, what is its required rate of return? (Please choose the closest answer) O a 12.7 percent Ob 11.7 percent OC 9 percent O d. 7.7 percent O e. 9.7 percent