Which capital structure shown in the preceding table is Transworld Consortium Corp.$\text{'}$s optimal capital structure?

Debt ratio $=30\%$; equity ratio $=70\%$

Debt ratio $=70\%$; equity ratio $=30\%$

Debt ratio $=50\%$; equity ratio $=50\%$

Debt ratio $=60\%$; equity ratio $=40\%$

Debt ratio $=40\%$; equity ratio $=60\%$

Consider this case:

Globex Corp, has a capital structure that consists of $40\%$ debt and $60\%$ equity. The firm's current beta is $1\mathrm{.}10,$ but management

wants to understand Globex Corp.$\text{'}$s market risk without the effect of leverage.

If Globex Corp. has a $25\%$ tax rate, what is its unlevered beta?

$0\mathrm{.}69$

$0\mathrm{.}77$

$0\mathrm{.}73$

$0\mathrm{.}66$