Boltzmann Energy has beta of 1.1, a variance of 0.0125, a dividend growth rate of 2.6 percent, stock price of $23 a share, and an expected annual dividend of $1.20 for each share next year. The market rate of return is 10.4 percent and risk-free rate is 3.9 percent. Determine the cost of equity (in percents) for Boltzmann Energy?