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Consider this case: Globex Corp. is an all-equity firm, and it has a beta of 1 . It is considering changing its capital structure to

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Consider this case: Globex Corp. is an all-equity firm, and it has a beta of 1 . It is considering changing its capital structure to 60% equity and 40% debt. The firm's cost of debt will be 10%, and it will face a tax rate of 25%. What will Globex Corp.'s beta be if it decides to make this change in its capital structure

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