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Soft carpet co. Has an equity beta of 1.2,capital structure with 2/3 debt ,and a zero tax rate. What is its asset beta ? 0.40

Soft carpet co. Has an equity beta of 1.2,capital structure with 2/3 debt ,and a zero tax rate. What is its asset beta ?

0.40
0.72
1.80
None of the above

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