HPCo is a computer manufacturer that is expected to invest in a project to produce new software. HPCo has an unlevered beta of 1.90. The unlevered beta of software producers is 1.50. The market value of equity (CP) for HPCo is $80M and the market value of debt is $20M. HPCo plans to maintain this debt/CP ratio for this project. HPCo's bonds are rated Baa2/BBB. The risk-free rate is 5% and the market risk premium is 4%. The tax rate is 40%.

Rating and default spread according to the company's interest coverage ratio

Interest coverage ratio	Rating	Default gap
>	≤ to
-100,000	0.199999	D2/D	12.00%
0.2	0.649999	Caa/CCC	10.50%
0.65	0.799999	Ca2/CC	9.50%
0.8	1.249999	C2/C	8.75%
1.25	1.499999	B3/B-	7.25%
1.5	1.749999	Ba1/BB+	6.50%
1.75	1.999999	Ba2/BB	5.50%
2	2.2499999	B1/B+	4.00%
2.25	2.49999	B2/B	3.00%
2.5	2.999999	Baa2/BBB	2.00%
3	4.249999	A3/A-	1.30%
4.25	5.499999	A2/A	1.00%
5.5	6.499999	A1/A	0.85%
6.5	8.499999	Aa2/AA	0.70%
8.5	100,000	Aaa/AAA	0.40%

 answer to the following questions from the values provided in the lists 

1. What is HPCo's leveraged beta taking into account its new project? 
2. What is HPCo's cost of equity 
3. What is HPCo's after-tax cost of debt?
4. What is HPCo's weighted average cost of capital?