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    Levered beta for Brandi Co.

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    Brandi Co. has an unlevered beta of 1.10. The firm currently has no debt, but is considering changing its capital structure to be 30% debt and 70% equity. If its corporate tax rate is 40%, what is Brandi's levered beta?

    © BrainMass Inc. brainmass.com March 4, 2021, 8:11 pm ad1c9bdddf
    https://brainmass.com/business/beta-and-required-return-of-a-project/levered-beta-brandi-150891

    Solution Summary

    The solution explains how to calculate the levered beta.

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