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Sinaloa Appliance, Inc., a private firm that manufactures home appliances, has hired you to estimate the companys beta. You have obtained the following equity betas
Sinaloa Appliance, Inc., a private firm that manufactures home appliances, has hired you to estimate the companys beta. You have obtained the following equity betas for publicly traded firms that also manufacture home appliances. ($ millions) Firm Beta Debt Market Value of Equity iRobot 0.90 $0 $ 3,040 Middleby's 1.85 750 7,430 National Presto 0.10 0 805 Newell Brands 1.05 11,923 26,370 Whirlpool 1.75 4,500 13,980 a. Estimate an asset beta for Sinaloa Appliance.
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