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Suppose Apple and HP have exactly the same business risk, as measured by their asset betas. Apple is 100% equity financed, but HP has $100M

Suppose Apple and HP have exactly the same business risk, as measured by their asset betas. Apple is 100% equity financed, but HP has $100M in debt. Which company's stock is riskier, as measured by its equity beta? Please choose one answer:

A: Apple

B: HP

C: Neither. Both are equally risky

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