Question
Muntjac Corporation's WACC is 14% and its tax rate is 40%. Muntjac's pre-tax cost of debt is 15% and it's debt-equity ratio is 1:2. If
Muntjac Corporation's WACC is 14% and its tax rate is 40%. Muntjac's pre-tax cost of debt is 15% and it's debt-equity ratio is 1:2. If the risk-free rate is 9% and the market rate of return is 12%, what is the beta of Muntjac's equity?
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Fundamentals Of Corporate Finance
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
6th Edition
0137852584, 9780137852581
