Assume the following information about Johnson & Johnson (ticker: JNJ). JNJ’s equity beta is 0.60. The yield on 10-year treasuries is 3%, and you estimate the market risk premium to be 6%. Furthermore, Johnson & Johnson will issue its next dividend at an annual amount of \($4.52.\) Its current stock price is \($175.00,\) and you expect dividends to increase at a constant rate of 3.5% per year. Estimate J&J’s cost of equity in two ways.