4. Sergen Corporation does not have any debt right now. Next year, Sergen Corporation plans to borrow up to 60% of its equity value to fund future growth. Assume the tax rate is 30%, the 2-year T-bond rate is 5% and the historical market risk premium is 3%. In the following table, you can find the betas of the companies in the same industry, which have no debt. (15 pts) Beta Company Cordoba 1.0 Ronaldo 1.1 1.3 Zago Giunti 1.4 Ilhan 1.5 a. Find the unlevered beta of the Sergen Corporation by looking at the competitors. (5 pts) b. Calculate Sergen's current cost of equity. (5 pts) c. Estimate the firm's cost of equity after it increases its leverage to 60% of equity. (5 pts)