13. Asset betas (S9.2) EZCUBE Corp. is 50% financed with long-term bonds and 50% with common equity.

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13. Asset betas (S9.2) EZCUBE Corp. is 50% financed with long-term bonds and 50% with common equity. The debt securities have a beta of .15. The company’s equity beta is 1.25.

What is EZCUBE’s asset beta?

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Principles Of Corporate Finance

ISBN: 9781264080946

14th Edition

Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans

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