problem: The following table lists possible rates of return on Compton Technology's stock & debt and on the market portfolio. The probability of each state is also listed.
[A] Determine the beta of Compton Technology stock?
[B] Determine the beta of Compton Technology debt?
[C] If the debt-to-equity ratio of Compton Technology is 0.5, determine the asset beta of Compton Technology? Ignore no taxes.