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Optimal Capital Structure with Hamada Beckman Engineering and Associates (EA) is considering a change in its capital structure. De currently has 520 million in debt

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Optimal Capital Structure with Hamada Beckman Engineering and Associates (EA) is considering a change in its capital structure. De currently has 520 million in debt carrying a rate of 6%, and its stock price is 540 per share with 2 million shares outstanding, BEA is a zero growth firm and pays out all of its earnings as dividends. The firm's EBIT is $12.199 million, and it laces 40% federal-plus-state tax rate the market risk premom is 5, and the free rate is 4%, BEI considering increasing its debt level to a capital structure with 405 debt, based on market values, and repurchasing shares with that extra money that it borrows, BEA will have to retire the old debt in order to issue new debt, and the rate on the new debt will be 0% BEA hos a bea of 1.1. What is tets unlevered besta? Use market value Dys (which is the same as www.) who unlevering. Do not round intermedinte calculations. Round your arawer to two decimal places 6. What are wea's new bets and cont of equity if it has 40% debt? Do not round intermediate calculations. Round your answers to two decimal places Beta Cost of equity What are BEA WACC and total value of the firm with 40% debt? Do not round intermediate calculations, Round your answer to two decimal places What is the total value of the firm with 10% debt? Enter your answers in milions. For example, an answer of $10,550,000 should be entered as 10.55. Do not round intermediate calculations. Round your answer to three decimal places million

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