As connoisseurs of elegant fast food cuisine, we are interested in making a bid for the Greens-to-Go restaurant division of SlurpCo, Inc. SlurpCo has three primary divisions, soft drinks, Major League...

As
connoisseurs
of
elegant fast food cuisine, we are interested in making a bid for the Greens-to-Go restaurant division of SlurpCo, Inc. SlurpCo has three primary divisions, soft drinks, Major League football franchises, and the G to G restaurants.   Given the unique risk profiles for each of these divisions, it is imperative we estimate G to G's divisional beta to determine its fit into our company. Consider the following information:

1. Estimate a
   levered equity beta
   for the Greens-to-Go division using the both the arithmetic and the weighted averages.