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1. An investor is looking to invest in Silver Appliances. It has a beta of 1.2 and is funded 60% with debt. The company recently

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1. An investor is looking to invest in Silver Appliances. It has a beta of 1.2 and is funded 60% with debt. The company recently announced that it would retire all of its debt and become debt-free. The investor is interested in calculating the beta of the firm, assuming that the firm has no debt. If the marginal tax rate is 40%, the beta of the company without any debt is closest to: A. 0.44. B. 0.63. C. 0.74

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