Help beta working- question 9 Pre Sept mock exam

Hi, I am struggling to understand how the answer for Step 1 in this question is calculated. The answer I get is “2” for step one. My working is from the inside brackets to outside brackets and then x / + - , could you please help with where I’m going wrong, I can’t get the answer 1.304. Question: South Co is a private company that wants to establish its cost of equity in order to evaluate a new investment proposal. North Co is a listed company that is very similar to South Co. South Co has a debt:equity ratio of 1:3 North Co has a debt:equity ratio of 1:4 North Co's equity beta is 1.50 Corporation tax is 40% Calculate an appropriate beta for South Co to use in its cost of equity calculation to 2 decimal places. Answer: Step 1 - estimate an ungeared (asset) beta from North Co's equity beta Assuming a debt beta of zero: Ba = Be (Ve/(Ve+ Vd(1-T)) Ve = value of equity Vd = Value of debt T = rate of tax Ba = 1.50 x 4/(4 + 1 (1-0.40)) = 1.304 Step 2 - estimate the geared (equity) beta for South Co Be = Ba (Ve+ Vd(1-T)Ve) = 1.304 × (3+1 (1-0.40)/3) =1.56