problem1: Brandi Co. has an unlevered beta of 1.10. The firm currently has no debt, but is considering changing its capital structure to be 30 percent debt and 70 percent equity. If its corporate tax rate is 40%, find out Brandi's levered beta?

[A] 1.5764

[B] 1.6235

[C] 1.7458

[D] 1.2549

[E] 1.3829

problem2:  A share of common stock has just paid a dividend of $2.00. If the expected long-term growth rate for this stock is 7 percent, and if investors require a (n) 11 percent rate of return, find out the price of the stock?

[A] $50.50

[B] $52.00

[C] $53.50

[D] $47.50

[E] $49.00