Question: 1) Estimate an asset beta for Sinaloa Appliance. (Round intermediate calculations and final answer to 3 decimal places.) Asset beta:_______ I got 0.95 which was

1) Estimate an asset beta for Sinaloa Appliance. (Round intermediate calculations and final answer to 3 decimal places.)

Asset beta:_______

I got 0.95 which was incorrect

Sinaloa Appliance, Inc., a private firm that manufactures home appliances, has hired you to estimate the company's beta. You have obtained the following equity betas for publicly traded firms that also manufacture home appliances. Firm Robot Middleby's National Presto Newell Brands Whirlpool 50 (5 millions) Market value Debt of Equity $ 3,640 750 7,430 805 11,923 26,370 4,500 13, 980 Beta 0.90 1.85 0.10 1.05 1.75

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