Question: Using Ford Motor Co. stock returns and S&P returns, you estimate Ford stock beta to be 2.3. Ford has a D/E ratio of 5.9 and

Using Ford Motor Co. stock returns and S&P returns, you estimate Ford stock beta to be 2.3. Ford has a D/E ratio of 5.9 and marginal tax rate of 21%. What is the asset beta (unlevered beta) of Ford?

		0.23
		0.34
		0.41
		2.3

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