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Assume we are evaluating 2 Canadian firms of comparable size in the igloo building industry. Both have a 30% tax rate. Firm A has zero

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Assume we are evaluating 2 Canadian firms of comparable size in the igloo building industry. Both have a 30% tax rate. Firm A has zero debt, a beta of 1.2 and Firm B has a beta of 1.5. Estimate Firm B's debt-to-equity ratio. On the diagram above, which of the securities A or B is superior using Sharpe's ratio as the measure of performance? Assume we are evaluating 2 Canadian firms of comparable size in the igloo building industry. Both have a 30% tax rate. Firm A has zero debt, a beta of 1.2 and Firm B has a beta of 1.5. Estimate Firm B's debt-to-equity ratio. On the diagram above, which of the securities A or B is superior using Sharpe's ratio as the measure of performance

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