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Levered beta estimation Suppose that a benchmark company is identified is 40 percent funded by debt. By contrast, the weight of debt in the subject

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Levered beta estimation Suppose that a benchmark company is identified is 40 percent funded by debt. By contrast, the weight of debt in the subject company's capital structure is only 45 percent. The benchmark's beta is estimated at 0.95. a. What is the unlevered beta of the benchmark company? Round your answer to two decmals b. What is the levered beta of the subject company? Found your answet to tho decinals

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