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Financial risk ethier enterprise has an unlevered beta of
Course:- Corporate Finance
Reference No.:- EM13601485





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Ethier Enterprise has an unlevered beta of 1.1. Ethier is financed with 45% debt and has a levered beta of 1.2. If the risk free rate is 5% and the market risk premium is 7%, how much is the additional premium that Ethier''s shareholders require to be compensated for financial risk? Round your answer to two decimal places. <br/> <br/> % <br/>



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