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Transnational Transport Services (TTS) is a railroad and trucking company that wants to determine the risk-adjusted discount rate should be used for its trucking business. Currently, TTS has an overall capital structure of 40 percent debt and 60 percent equity, but finances projects in its trucking division with 10 percent debt and 90 percent equity. The pretax cost of debt assigned to the trucking division is 8 percent. The firm's tax rate is 25 percent. A publicly-traded company, Dependable Trucking (DT), has been identified as a suitable proxy for TTS's trucking division. DT has a (leveraged) beta of 1.44. DT's current capital structure consists of 25 percent debt and 75 percent equity. DT's tax rate is 30 percent. The risk-free rate is 4 percent and the expected rate of return on the market is 12 percent. a. What is the unlevered beta for the trucking division? b. What is the required rate of return on the equity-financed portion of the division's assets? c. What is the risk-adjusted discount rate of the trucking division