menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Corporate Finance Study Set 1
  4. Exam
    Exam 11: Return and Risk: the Capital Asset Pricing Model Capm
  5. Question
    Zoom,Inc Stock Has a Beta of 1
Solved

Zoom,Inc Stock Has a Beta of 1

Question 94

Question 94

Multiple Choice

Zoom,Inc. stock has a beta of 1.5. The risk-free rate of return is 3.7% and the market rate of return is 9.5%. What is the amount of the risk premium on Zoom stock?


A) 5.8%
B) 8.7%
C) 9.5%
D) 10.25%
E) 14.25%

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q59: The excess return earned by an asset

Q89: What is the standard deviation of a

Q90: The relationship between the covariance of the

Q91: You want your portfolio beta to be

Q93: The combination of the efficient set of

Q95: You have a portfolio of two risky

Q96: The majority of the benefits from portfolio

Q97: A portfolio contains two assets. The first

Q98: Diversification can effectively reduce risk. Once a

Q99: Your portfolio is comprised of 30% of

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines