Consider the following information regarding corporate bonds:

The after Tax WACC method should be used: Select one: A. When the project's debt financing is unknown over the life of the project B. When the project's level of debt is constant over the life of the project. C. When the project's target debt to value ratio is constant over the life of the project. D. Both B and C E. None of the above

Galt Industries has a market capitalization of $50 billion, $30 billion in BBB rated debt, and $8 billion in cash. If Galt's equity beta is 1.15, then Galt's underlying asset beta is closest to:

Select one:

A. 0.83

B. 0.92

C. 1.00

D. 1.15