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Saved Problem 14-3 Calculating Cost of Equity (L01) 1 01:29:05 Stock in Daenerys Industries has...

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Saved Problem 14-3 Calculating Cost of Equity (L01) 1 01:29:05 Stock in Daenerys Industries has a beta of 1.1. The market risk premium is 7 percent, and T-bills are currently yielding 4.8 percent. The company's most recent dividend was $1.80 per share, and dividends are expected to grow at an annual rate of 6 percent indefinitely If the stock sells for $40 per share, what is your best estimate of the company's cost of equity? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Cost of equity %

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