The Down and Out Co. just issued a dividend of $2.01 per share on its common stock. The company is expected to maintain a constant 4 percent growth rate in its dividends indefinitely. If the stock sells for $45 a share, what is the company's cost of equity? (Do not round your intermediate calculations.) The Up and Coming Corporation's common stock has a beta of 1.4. If the risk-free rate is 4.5 percent and the expected return on the market is 10 percent, what is the company's cost of equity capital? (Do not round your intermediate calculations.)