Hi everyone. I just have some questions on theanalysis.
1 What is the difference between leveraged beta and unleveraged beta? Why do we need both?
2 When calculate the discount rate in, why do we multiply (D/(D+E)*rd) by (1-t)? (t: tax rate, rd: discount rate for debt)
3 Why do we need to add DTS to the valuation when doing the APV?
Thanks everyone and Happy New Year!