Youve collected the following information from your favorite financial website.

52-Week Price	Stock (Div)	Div Yld %	PE Ratio	Close Price	Net Chg
Hi	Lo
77.5	10.44	Palm Coal 0.37	2.6	6	14.00	0.24
55.81	33.42	Lake Lead Grp 1.54	3.8	10	40.43	0.01
130.93	69.50	SIR 2.00	2.2	10	88.97	3.07
50.24	13.95	DR Dime 0.80	5.2	6	15.43	0.26
35.00	20.74	Candy Galore 0.32	1.5	28	??	0.18

According to your research, the growth rate in dividends for Palm Coal for the previous 10 years has been 3.75 percent.

Required:

If investors feel this growth rate will continue, what is the required return for Palm Coal stock?(Do not round intermediate calculations.Round your answer to 2 decimal places (e.g., 32.16).)

Required return	%