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In relation to the beta of a firms shares, which one of the following statements is false? A. Firms with more equity financing relative to

In relation to the beta of a firms shares, which one of the following statements is false?

A. Firms with more equity financing relative to debt financing tend to have a lower beta

B. Firms with higher percentage change in sales relative to percentage change in operating profits have a lower beta

C. Firms with higher marginal tax rates will tend to have a lower beta

D. Firms that have proportionately more variable operating costs than fixed operating costs will tend to have a higher beta

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