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What is the beta for a firm with 40% equity and 60% debt if a similar firm with 45% debt and 55% equity has a

What is the beta for a firm with 40% equity and 60% debt if a similar firm with 45% debt and 55% equity has a levered beta of 1.4? Corporate tax rate is 40%. Options

A. 1.49 B. 2.41 C. 1.78 D. 1.31 E. 0.94

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