Question 1 Not yet answered Marked out of 1 P Flag question RDJ Inc. has an asset beta of 0.95. Its current capital structure is 60% debt, 40% equity. What is the firm's equity beta? Ignore taxes Select one: a. 2.375 b. 1.875 C. 1.243 d. 0.380 e. 1.583 Question 2 Not yet answered Marked out of 1 P Flag question The target capital structure is the debt-equity mix that Select one: a. Maximizes the value of the firm. b. Minimizes the overall debt level of a firm. c. Minimizes the cost of equity financing. d. Minimizes the cost of debt financing. e. Maximizes the cost of capital. Question 3 Not yet answered Marked out of 1 P Flag question The NPV that is calculated when deciding whether to lease an asset or to buy it is called the: Select one: a. Profitability index. b. Net advantage to leasing. C. Open interest net present value. d. Average accounting ratio for leasing. e. Depreciation net present value. Question 4 Not yet answered Marked out of 1 P Flag question The explicit and implicit costs associatecd with corporate default are the the firm of Select one: a. flotation costs b. default beta coefficients c. financial distress costs d. direct bankruptcy costs e. indirect bankruptcy costs