Two firms are identical except for their capital structure. Company A is funded by 30% debt and 70% equity. Company B is funded by 40% debt and 60% equity. (a) What are the relationships between their asset betas and equity betas? Fill in the blank. Company A (>, =, or <) Company B As Asset beta Bs Asset beta As Equity beta Bs Equity beta (b) Briefly explain your rationale for the answers provided in part (a) above.