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Two firms have the same asset beta but different equity betas. The direct cause is likely: a. The importance of variable costs varies across these

Two firms have the same asset beta but different equity betas. The direct cause is likely:

a. The importance of variable costs varies across these firms

b. The firms have different proportions of debt relative to equity

b. One firms sales are more cyclical than the other

c. All of the above

d. None of the above

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