Zoro Corp Has a Beta of 2

question 55

Multiple Choice

Zoro Corp. has a beta of 2.0. The risk-free rate of interest is 5 percent, and the return on the stock market overall is expected to be 13 percent. What is the required rate of return on Zoro stock?

• A) 21 percent
• B) 41 percent
• C) 16 percent
• D) 13 percent
• E) None of these are correct.
• ​

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Definitions:

HRM Task

Activities or responsibilities carried out by the Human Resources Management department, such as hiring, training, and employee relations.

Employee Recruitment

The process of attracting, selecting, and hiring suitable candidates for jobs within an organization.

Employee Selection

The process of interviewing and evaluating candidates for a specific job and selecting an individual for employment based on certain criteria.

Employee Orientation

The process of introducing new employees to their responsibilities, the company's culture, policies, and the people they will be working with.