In the calculation for Beta on that page (not Example 6), they say Debt = 40%, Equity = 60% and then write the unlevered Beta calculation as:
= [1/(1 + (40/60)]*1.2
when it should be (60/40)?
No newsuper
they are fine..
formula
Beta Unlevered = Beta * [1/(1+D/E)]
Then to lever it up for another company:
Beta New Levered = Beta Unlevered * (1+D/E for New Company).
发表于 2013-4-14 19:01
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