ABC Inc. currently has zero debt (i.c., W4 - 0). It is a zero growth company, and additional firm data are shown below. Now the company is considering using some debt, moving to the new capital structure indicated below. The money raised would be used to repurchase stock at the current price. It is estimated that the increase in risk resulting from the additional leverage would cause the required rate of return on equity to rise somewhat, as indicated below. If this plan were carried out by how much would the WACC change, i.e., what is WACCOM- WACC New? Do not round your intermediate calculations wa 80% 10.0% w 20% Orig cost of equity, New cost of equity = 1 Tax rate 11.0% Interest rate new 8.0% 25% Select one: a. 2.40% b. 3.63% C 3.00% d. 2.55% e. 3.33% ABC Inc. has a capital structure of 45% debt and 55% equity, its tax rate is 25%, and its beta (leveraged) is 1.20. Based on the Hamada equation, what would the firm's beta be if it used no debt, i.o., what is its unlevered beta, bu? Select one: a. 0.74 b. 0.58 C. 0.95 d. 0.77 e. 0.86