Smith Ltd next expected dividend is $$0\mathrm{.}30$ per share. Smith$$s dividends have been growing at a rate of $5\%$ per annum and this growth is expected to continue. The current market price of Smiths shares is $$6\mathrm{.}50.$ What is the cost of retained earnings of Smith Ltd$?$

a$.$

$10\mathrm{.}11\%$

b$.$

$9\%$

c$.$

$9\mathrm{.}62\%$

d$.$

$8\mathrm{.}62\%$