Question You need to estimate the equity beta for Golden Chemical, Inc. Golden's debt-to-asset ratio is 20%, and its debt beta is 0.25. The following table shows the betas, debt betas and debt-to-equity ratios for three comparable chemical firms (all taken from finance.yahoo.com). Assume the tax rate is 40% for all four firms. Please show your work and clearly label your answers. 10.3 1.3 Company Beta D/E Ratio Debt Beta Eastman Chemical 1.45 0.75 Celanese Corp 1.28 0.82 0.3 Dow Chemical 2.56 0.96 a. Assuming debt is risk-free, use the information given above to estimate the unlevered equity betas of each of these companies. b. Assuming debt is risk-free, what is your estimate of Golden Chemical's levered equity beta? C. The current risk-free rate is 2.4% and the current market risk premium is 7.53%. If Golden's before-tax cost of debt is 6.8% and it has no preferred stock in its capital structure, what is Golden's weighted average cost of capital