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Light Yagami was estimating bottom up beta for Desu noto corporation. He finds that both Debt to Equity ratio and Cash holdings (Cash/Firm Value) are
Light Yagami was estimating bottom up beta for Desu noto corporation. He finds that both Debt to Equity ratio and Cash holdings (Cash/Firm Value) are greater than zero for Desu noto corporation. He made the following statements Statement 1: Bottom up beta for Desu noto is 2 Statement 2: If Desu nto had no debt, its beta would be 2.2 Statement 3: If Desu nto had no cash, its beta would be 1.8 Statement 4: If Desu nto had no cash and no debt, its beta would be 2 If Statement 1 is TRUE, which of the other three statements must be FALSE Explain your reasoning for each of the other three statements (Statements 2, 3, and 4) 1 marre
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