Company XYZ has a debt-to-equity ratio of .55 and a new product line needs financing of $45M of debt and $65M of equity. Other equity and asset betas of firms in similar lines of business are known. Which of the following statements for calculating the equity beta for the new product line is most accurate?

A. using the current debt-to-equity ratio of .55 is appropriate

B. using the new debt-to-equity ratio of the firm that would result from the additional $45M debt and $65M equity is appropriate

C. using the current debt-to-equity ratio of .55 is not appropriate, but the debt-to-equity ratio of the new product line of .69 is appropriate