For this problem $,$ all M &M with taxes $(40\%)$ assumptions apply. After a successful college football career $,$ Tim Turbo partnered with Danny Waffle $($naming themselves TD Industries $)$ to manufacture and distribute fruit pies. On $1/1/2019,$ the company had one product that generated EBIT of $$200,000$ on $12/31$ of each year $($forever $),$ with an asset beta of $1\mathrm{.}15.$ The firm faced a tax rate of $40$ percent $,$ and the firm had no debt outstanding $.$ At that time, the risk$-$free rate, R Fi was $2$ percent and the MRP was $5$ percent. The firm had $100,000$ shares outstanding $,$ and all earnings were $($ and will always be$)$ paid out as dividends On $1/2/2019$ at $8$:$00$ a$.$m$.,$ TD announced a new pie product : The project required that the company spend $$850,000$ to purchase The Buckeye Grinder $2500,$ a buckeye mashing machine $.$ For tax purposes, the machine will not be depreciated since it will last forever $.$ No working capital is required $.$ To fund the project, all $$850,000$ was raised as perpetual debt, with an annual coupon rate equal to the risk$-$free rate $,$ and interest paid annually. The project increased the company's EBIT by $ $446,666\mathrm{.}66$ a year forever $($starting on $12/31/2019)$ The project had an asset beta of $1\mathrm{.}35.$ When the market opened at $9$:$30$ a$.$m$.,$ the price share fully adjusted to the announcement $.$ The debt was then issued, and the project was implemented $.$ What was the equity beta when the entire transaction was complete $?$ Answer truncating your answer to $3$ decimal places $.$ For example, if your answer is $1\mathrm{.}78325,$ enter $"1\mathrm{.}783".$