I'm having issues with C.

Can you please help.

Your rm is planning to invest in an automated packaging plant. Harburtin Industries is an alleequity rm that specializes in this business. Suppose Harburtin's equity beta is 0.85, the riskefree rate is 4%, and the market risk premium is 5%. a) Using Harburtin as a comp, the project's beta is: [:] (round to the nearest one hundredth) b) If your firm's project is all equity financed, estimate its cost of capital. S94: (round to the nearest one hundredth of a percent) You decide to look for other com parables to reduce estimation error in your cost of capital estimate. You nd a second rm, Thurbinar Design, which is also engaged in a similar line of business. Thurbinar has a stock price of $20 per share, with 15 million shares outstanding. It also has $100 million in outstanding debt, with a yield on the debt of 4.5%. Thurbinar's equity beta is 1.00. c) Assume Thurbinar's debt has a beta of zero. Estimate Thurbinar's unlevered beta. Use the unlevered beta and the CAPM to estimate Thurbinar's unlevered cost of capital: C] (round to the nearest one hundredth of a percent) d) Average your results in part (b) and part (c) to reestimate the cost of capital of your firm's project. What is your new estimate? D96 (round to the nearest one hundredth) Check