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SPC Inc. has a capital structure of 3 3 % debt and 6 7 % equity, its tax rate is 2 5 % , and

SPC Inc. has a capital structure of 33% debt and 67% equity, its tax rate is 25%, and its beta (levered) is 0.60. Based on the Hamada equation, what would the firm's beta be if it used no debt, i.e., what is its unlevered beta, bU?

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