Question: Use the debt beta table to estimate the asset beta of JetBlue Airline. By rating A and above BBB BB B CCC Average beta <

Use the debt beta table to estimate the asset beta of JetBlue Airline.

By rating A and above BBB BB B CCC
Average beta < 0.05 0.1 0.17 0.26 0.31
Company Name Market Capitalization ($ million) Total Enterprise Value ($ million) Equity Beta Debt Ratings
Delta Air Lines (DAL) 4951.1 17039.1 2.046 BB
Southwest Airlines (LUV) 4860.8 6370.2 0.972 A/BBB
JetBlue Airways (JBLU) 1250.3 3827.8 1.903 B/CCC
Continental Airlines (CAL) 1097.8 4448.7 1.955 B

Group of answer choices

0.813

0.678

0.759

0.715

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