Optimal Capital Structure with Hamada Beckman Engineering and Assocotes (BEA) is consideting a change in its capital structure. BEA currently has s20 million in debt carrying a rate of a\%, and its stock price is 540 per share with 2 million shares outstanding. BEA is a zere-grewth firm and pays out all of its earnings as dividends. The firm's EBrT is 316 million, and it faces a 25% federal-plus-state tax rate. The market risk premium is 6%, and the risk-free rate is 6%. aEA is considering increasing its debt level to a capital structure with 40% debt, based on market values, and repurchasing shares with the extra morey that it borrows. BEA will have to retire the aid debt in order to issue new debt, and the rate on the new debt will be 12%. EEA has a beta of 1.1 . a. What is BEA's unlevered beta? Use market value D/S (which is the same as wd/wi) when unlevering, Do not round intermed ate calculations. Round your answer to two decimal places. b. What are BEA's new beth and cost of equity it it has 40% debt? Do not round intermediate calculations. Round your answers to two decimal ploces. Beta: Cost of equity: c. What is BEA's WACC with 40% debt? Do not round intermediate calculations. Round your answer to two decimal places. % What is the total value of the firm with 40% debk? Do not round intermediate caiculations. Enter your answer in millions. For example, an answer of $1:234 milion should be entered as 1.234 , not 1,234,000. Round your answer to three decimal places