1. Counts Accounting has a beta of 1.45. The tax rate is 40%, and Counts is financed with 60% debt. What is Counts' unlevered beta? Do not round intermediate calculations. Round your answer to two decimal places.

2. Ethier Enterprise has an unlevered beta of 1.25. Ethier is financed with 35% debt and has a levered beta of 1.45. If the risk free rate is 6.5% and the market risk premium is 6%, how much is the additional premium that Ethier's shareholders require to be compensated for financial risk? Round your answer to two decimal places.

3. Nichols Corporation's value of operations is equal to $500 million after a recapitalization (the firm had no debt before the recap). It raised $225 million in new debt and used this to buy back stock. Nichols had no short-term investments before or after the recap. After the recap, wd = 45%. What is S (the value of equity after the recap)? Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answer to the nearest whole number.

4. Lee Manufacturing's value of operations is equal to $900 million after a recapitalization (The firm had no debt before the recap.) Lee raised $300 million in new debt and used this to buy back stock. Lee had no short-term investments before or after the recap. After the recap, wd = 1/3. The firm had 30 million shares before the recap. What is P (the stock price after the recap)? Do not round intermediate calculationos. Round your answer to the nearest cent.

5. Dye Trucking raised $130 million in new debt and used this to buy back stock. After the recap, Dye's stock price is $6.5. If Dye had 80 million shares of stock before the recap, how many shares does it have after the recap? Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Do not round intermediate calculations. Round your answer to two decimal places.