Optimal Capital Structure with Hamada Beckman Engineering and Associates (BEA) is considering a change in its capital structure. BEA currently has $20 million in debt carrying a rato of 8\%, and its stock price is $40 per share with 2 million-shares outstanding. BEA is a zero-growth firm and pays out all of its earnings as dividends. The firm's cert is $14 milion, and it faces a 25% federal-plus-state tax rate. The market risk premhum is 5%, and the risk-free rate is 7%, BEA is considering increasing its debt level to a eapital structure with 50% debt, based on market values, and repurchasing shares with the extre money that it borrows. BEA will have to retire the old cebt in order to lisue new debt, and the rate on the new debt will be 129 . BEA has a beta of 1.0 . a. What is BEA's unlevered beta? Use market value D/S (which is the same as wd/w1 ) when unlevering. Do not round intermediate calculations. Round your. answer to two decimal places. b. What are BEA's new beta and cost of equity in it has 50% debe? Do not round intermedate calculations, Hound your answers to two decimal places. Beta: Cont of equiry 46 c. What is BEA's WACC wh sous debt? Do not round intermediate calculations. Round your answer to two decimal places. What is the total value of the firm whi 50% debt? Do not round intermediate calculations, Enter your answer in millions. For example, an answer of 51.234 millicen should be entered as 1,234, not 1,234,000, Round your answer to three decimal places. 3 million