The expected return on the market is 12 percent, and Treasury bills are yielding 6.4 percent. The common stock of Trompeta Inc. has a beta of 1.25 and the dividends are expected to grow indefinitely at 5 percent annually. The most recent stock price for the company is $81. Calculate the cost of equity. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Cost of Equity %