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The debt-equity ratio is 47 if you apply the common beta

Johnson company has an equity beta of 1.5, the risk-free rate of return is 3.0 percent, the market return is 14.7 percent, and the pretax cost of debt is 9.4 percent. The debt-equity ratio is .47. If you apply the common beta assumptions, what is the company's asset beta? Please show all the steps.

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Business Management: The debt-equity ratio is 47 if you apply the common beta

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