Debt Levered Equity Marginal Revenues ($ Tax Rate Mill) Соmpany Naте Ratio Beta Parent Company 60% 0.95 40% Greens to Go 65% ?? 40% Burger Doodle 35% 0.75 35% 1.95 Southern Fried Taco 45% 1.25 30%...



  1. Calculate the unlevered asset betas for each of the three comparable firms being sure to adjust appropriately for their respective marginal tax rates.

    Betas:
    Burger doodle: .56
    Southern Frier: .79
    Buffet Pizza: .71



  2. Calculate the arithmetic industry average of the three asset betas


    Please answer #2


Debt<br>Levered Equity<br>Marginal Revenues ($<br>Tax Rate Mill)<br>Соmpany Naте<br>Ratio<br>Beta<br>Parent Company<br>60%<br>0.95<br>40%<br>Greens to Go<br>65%<br>??<br>40%<br>Burger Doodle<br>35%<br>0.75<br>35%<br>1.95<br>Southern Fried Taco<br>45%<br>1.25<br>30%<br>2.85<br>Buffet Pizza Company<br>40%<br>1.05<br>27%<br>0.75<br>

Extracted text: Debt Levered Equity Marginal Revenues ($ Tax Rate Mill) Соmpany Naте Ratio Beta Parent Company 60% 0.95 40% Greens to Go 65% ?? 40% Burger Doodle 35% 0.75 35% 1.95 Southern Fried Taco 45% 1.25 30% 2.85 Buffet Pizza Company 40% 1.05 27% 0.75

Jun 11, 2022
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