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Question # 8 Gaston Company has a levered beta of 1.2. Their capital structure consists of 35% debt and 65% common equity. Considering a tax

Question # 8

Gaston Company has a levered beta of 1.2. Their capital structure consists of 35% debt and 65% common equity. Considering a tax rate of 21%, what is Gaston's unlevered beta?

a. 0.8179

b. 0.8419

c. 1.0461

d. 1.0781

e. 1.1878

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