Butcher Timber Company hired your consulting firm to help them estimate the cost of equity. The yield

Question:

Butcher Timber Company hired your consulting firm to help them estimate the The yield on the firm's bonds is 10.50%, and your firm's economists believe that the can be estimated using a risk premium of 3.85% over a firm's own cost of debt. What is an estimate of the firm's from retained earnings?
Cost Of Equity
The cost of equity is the return a company requires to decide if an investment meets capital return requirements. Firms often use it as a capital budgeting threshold for the required rate of return. A firm's cost of equity represents the...