The Sicamous Company and the Revelstoke Company are two firms whose business risk is the same but that have different dividend

policies. Sicamous pays no dividend, whereas Revelstoke has an expected dividend yield of $8\%.$ Suppose the capital gains tax rate is

zero, whereas the income tax rate is $35\%.$ Sicamous has an expected earnings growth rate of $19\%$ annually, and its stock price is

expected to grow at this same rate. If the after$-$tax expected returns on the two stocks are equal $($because they are in the same risk

class$).$

What is the pre$-$tax required return on Revelstoke's stock? $($Do not round intermediate calculations. Round the final answer to $2$

decimal places.$)$

Pre$-$tax return

$\%$

Please give $4$ decimal answers