Holtzman Clothiers's stock currently sells for $35 a share. It just paid a dividend of $2.25 a share (i.e., D 0 = $2.25). The dividend is expected to grow at a constant rate of 9% a year. What is the...

Holtzman Clothiers's stock currently sells for $35 a share. It just paid a dividend of $2.25 a share (i.e., D₀
= $2.25). The dividend is expected to grow at a constant rate of 9% a year.

What is the required rate of return? Round your answer to two decimal places. Do not round your intermediate calculations.