APV (Adjusted present value)

The question will not direct you as to which method to use. Most times (but not every time) you are given information about the betas (and the risk free rate) in which case use betas (which will almost certainly involve using the asset beta formula to ungear the beta). If you are not given the betas then use the M&M formula that appears at the top of the formula sheet. In fact, both approaches will give the same end result (because the asset beta formula comes from M&M). You might not believe me but it is true although please don't waste your time doing it both ways to check me - I am telling the truth :-)

You are welcome :-)