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Stock H has a beta of .90, tax rate of 32%, cap structure ratio of 10/90.The firm mangers wish to increase leverage and a set
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Stock H has a beta of .90, tax rate of 32%, cap structure ratio of 10/90.The firm mangers wish to increase leverage and a set a target capital structure ratio of 40/60. Calculate the assets (unlettered) beta and the new equity (levered) beta following the reorgzantion of capital.
Stock H has a beta of .90, tax rate of 32%, cap structure ratio of 10/90.The firm mangers wish to increase leverage and a set a target capital structure ratio of 40/60. Calculate the assets (unlettered) beta and the new equity (levered) beta following the reorgzantion of capital.
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