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In mid-2015, Cisco Systems had a market capitalization of $130 billion. It had A-rated debt of $25 billion as well as cash and short-term investments
In mid-2015, Cisco Systems had a market capitalization of $130 billion. It had A-rated debt of $25 billion as well as cash and short-term investments of $60 billion, and its estimated equity beta at the time was 1.11. a. What is Ciscos enterprise value? b. Assuming Ciscos debt has a beta of zero, estimate the beta of Ciscos underlying business enterprise.
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