Betas and Leverage  
  These inputs are absolutely essential to the calculation.  
                 
  Enter the current beta of the company      
  Enter the marginal tax rate for the company      
  Enter the average debt/equity ratio over the period of the regression      
                 
  The following inputs are useful for the re-estimation of the beta, if the current D/E ratio is different from the average.  
                 
  The current market value of equity in the company ($)      
  Enter the current book value of debt in the company ($)      
  Enter the average maturity of the debt in the company      
  The interest expenses from the most recent 12 months      
  Enter the current market interest rate on this company's debt      
  Market Value of Debt      
  Enter the estimated debt value of the firm's operating leases ($)      
                 
  Output from the Analysis  
                 
  Unlevered Beta for the firm (based upon average debt/equity ratio)      
  Current Beta for the firm (based upon current debt/equity ratio) *     
          * only if you enter the current value inputs  
             
    Debt to Capital Debt/Equity Ratio Beta Effect of Leverage      
         
         
         
         
         
         
         
         
         
         
                 
  Customized Inputs  
                 
  Enter the debt/equity ratio that you think the firm will have      
  Levered Beta based upon this debt/equity ratio      
                 
  Copyright @2010 All Right Reserved by SpreadsheetConverter  
  http://www.spreadsheetconverter.com  
     
  Parameters  
  1. Current Beta  
    Enter current beta of the company  
  2. Marginal Tax Rate  
    Enter the marginal tax rate for the company  
  3. Average Debt / Equity Ratio  
    Enter the average debt/equity ratio  
  4. Current Book Value  
    Enter the current book value of debt in the company  
  5. Average Maturity  
    Enter the average maturity of the debt  
  6. Current Market Interest Rate  
    Enter the current market interest rate  
  7. Estimated Debt Value  
    Enter the estimated debt value of the firm  
  8. Debt To Capital  
    Enter the dept to capital of the company  
                   
  Copyright @2010 All Right Reserved by SpreadsheetConverter  
  http://www.spreadsheetconverter.com