GoodFood Inc., a food processing company, has come to you for some help in estimating a beta for their equity. The firm has been publicly traded for two years and the regression beta is 0.45. The firm is in two businesses, and you have collected the following information on them:

		Comparable Firms	Comparable Firms
Business	Revenues (in millions)	Unlevered Beta	EV/Revenues Ratio
Food Processing	800	0.6	0.5
Restaurants	200	1.2	3

where EV (Enterprise Value) = Market Value of Equity + Market Value of Debt - Cash.

In addition, GoodFood has 100 million shares outstanding, trading at $9/share and the market value of debt is $100 million. The riskfree rate is 3.5%, the equity risk premium is 4.5% and the firm has a rating of BBB (with a default spread of 1.5%). The marginal tax rate for all firms is 40%

Part 1

Estimate the company's EV. (3+decimals)

Part 2

Estimate the company's cost of equity. (3+decimals)

Part 3

Estimate the company's WACC (weighted average cost of capital). (3+decimals)