问题如下:
6. The estimate of beta for Twin Industries is closest to:
选项:
A.0.44.
B.0.85.
C.0.89.
解释:
B is correct.
The steps to estimating a beta for a non-traded company are:
Step 1 Select the comparable benchmark
Step 2 Estimate benchmark’s beta
Step 3 Un-lever the benchmark’s beta
Step 4 Lever the beta to reflect the subject company’s financial leverage
The beta of the benchmark peer company data is given as 1.09. Next, this beta needs to be unlevered, calculated as:
The beta of the benchmark peer company data is given as 1.09. Next, this beta needs to be unlevered, calculated as:
我记得一级里做纯玩法是要加上(1-t)的,这里是因为没给条件所以忽略吗?