Jinna D.

asked • 03/13/21

How do I calculate equity beta?

Trying to determine the equity beta (β) of a privately held company, Summa Corporation, that is not required to publish its financial information. The average asset beta from a group of comparable companies is

1.28. If Summa Corp has a debt/equity ratio of 30% and the tax rate is 35% what is its equity beta (β)?

1 Expert Answer


Dennis N. answered • 03/16/21

New to Wyzant

A Finance guru with expertise in finance and business topics

Still looking for help? Get the right answer, fast.

Ask a question for free

Get a free answer to a quick problem.
Most questions answered within 4 hours.


Find an Online Tutor Now

Choose an expert and meet online. No packages or subscriptions, pay only for the time you need.