The current risk-free rate of return ( (r ) is 3.86% while the market risk premium is 6.63%. The D'Amico Company has a beta of 1.56. Using the capital asset pricing model (CAPM) approach, D'Amico's cost of equity is The cost of equity using the bond yield plus risk premium approach The Taylor Company is closely held and, therefore, cannot generate reliable inputs with which to use the CAPM method for estimating a company's cost of intemal equity. Taylor's bonds yield 10.28%, and the firm's analysts estimate that the firm's risk premium on its stock over its bonds is 5.89. Based on the bond-yield-plus-risk-premium approach, Taylor's cost of internal equity is: 20.21%15.36%19.40%16.17% Tucker Enterprises's stock is currently selling for $25.67 per share, and the firm expects its per-share dividend to be $2.35 in one year. Analysts project the firm's growth rate to be constant at 7.27%. Estimating the cost of equity using the discounted cash flow (or dividend orowth) approach, what is Tucker's cost of internal equity? 15.609 22.17% 16.42% 20.53% Suppose Tucker is currently distributing 45% of its eamings in the form of cash dividends. it has also historically generated an average return equity (ROE) of 12\%. Tucker's estimated oromth rate is