Suppose$$ Alcatel$-$Lucent has an equity cost of capital of $10\%,$ market capitalization of $ $10\mathrm{.}80$billion$,$ and an enterprise value of $ $14\mathrm{.}4$ billion. Suppose$$ Alcatel$-$Lucent's debt cost of capital is $6\mathrm{.}1\%$ and its marginal tax rate is $35\%.$

a$.$ What is$$ Alcatel$-$Lucent's WACC?

b$.$ If$$ Alcatel$-$Lucent maintains a constant$$ debt$-$equity ratio, what is the value of a project with average risk and the expected free cash flows as shown$$ here

Year $0123$

FCF $($$ million$)-1005010070$

c$.$ If$$ Alcatel$-$Lucent maintains its$$ debt$-$equity ratio, what is the debt capacity of the project in part $($b$)?$