The DJH Corporation just paid a dividend of $ 3.12 . It expects its cash dividends to grow 4.5 % per year forever. DJH has a debt ratio of L = 38 %. Its borrowing rate is rd = 7.0 %. DJH pays corporate taxes at the rate of 46 %, rf = 4.9 %, rM = 8.6 %, and DJH's common stock is currently selling for $ 32 per share. What is DJH's expected cost of stock? Short your answer to the nearest .1%. Show your answer as a whole number, thus 4.2% should be 4.2 rather than .042.