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    Corporate Finance Asia
  4. Exam
    Exam 11: Return and Risk: the Capital Asset Pricing Model
  5. Question
    Zoom,IncStock Has a Beta of 1
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Zoom,IncStock Has a Beta of 1

Question 1

Question 1

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

Correct Answer:

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