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The finance manager of NN Co. estimated the following Levered beta (B L ) 1.25 Debt to equity ratio (D/E) 30% Tax rate (t) 30%
The finance manager of NN Co. estimated the following | |
Levered beta (BL) | 1.25 |
Debt to equity ratio (D/E) | 30% |
Tax rate (t) | 30% |
Find unlevered beta, assuming that the company use no debt. |
a- Less than 0.80 |
b- Between 0.80 and 0.89 |
c- Between 0.90 and 0.99 |
d- More than 1.00 |
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