Morgan entertainment-unlevered beta


Morgan Entertainment has a levered beta of 1.20. The firm's capital structure consists of 40% debt and 60% equity and it has a corporate tax rate of 40%. What is Morgan's unlevered beta?

a. 0.7534
b. 0.7811
c. 0.8043
d. 0.8249
e. 0.8571

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Finance Basics: Morgan entertainment-unlevered beta
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