The Template Corporation Has an Equity Beta of 1

question 29

Multiple Choice

The Template Corporation has an equity beta of 1.2 and a debt beta of .8.The firm's market value debt to equity ratio is .6.Template has a zero tax rate.What is the asset beta?

• A)0.70
• B)0.72
• C)0.96
• D)1.04
• E)1.05

---

Definitions:

Average Weight

A statistical measure representing the central or typical value of the weight of a population or sample.

Fetus Opens Eyes

The developmental stage in utero when the fetus is able to open its eyelids, typically occurring in the third trimester of pregnancy.

Fetoscope

A medical instrument used to listen to the fetal heartbeat during pregnancy through the mother's abdomen.

Movement Felt

Movement Felt describes the physical sensation or perception of motion by an individual or within an environment.