Question: You are evaluating a new project and need an estimate for your project's beta. You have identified the following information about three firms with comparable
You are evaluating a new project and need an estimate for your project's beta. You have identified the following information about three firms with comparable projects.
| Firm Name | Equity Beta | Debt Beta | Debt to equity ratio |
| Lincoln | 1.25 | 0 | 0.25 |
| Blinkin | 1.6 | 0.2 | 1 |
| Nod | 2.3 | 0.3 | 1.5 |
Find the unlevered beta for Lincoln?
(Please provide formula, step-by-step process AND no excel spreadsheet)
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