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The TellASK Communications is engaged in a complicated capital budgeting analysis. They have calculated the after-tax cash flows, but have yet to calculate their WACC.

The TellASK Communications is engaged in a complicated capital budgeting analysis. They have calculated the after-tax cash flows, but have yet to calculate their WACC. They understand there are a number of steps, on of which is to calculate the return on the firm's equity. The firm has a beta of 1.05, the risk-free rate is 2.30%, and the market risk premium is 5.90%. Calculate the cost of equity needed as part of the WACC calculation.

Please provide your answer to 2 decimal places. For example if your answer was 7.64% you would enter 7.64.

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