Exhibit 7-1
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S)

question 119

Multiple Choice

Exhibit 7-1
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S) $$\begin{array}{c}\underline {\text { Rates of Return }}\\\begin{array} { c c c } \text { Year } & \text { RA Computer } & \text { Market Index } \\\hline 1 & 13 & 17 \\2 & 9 & 15 \\3 & - 11 & 6 \\4 & 10 & 8 \\5 & 11 & 10 \\6 & 6 & 12\end{array}\end{array}$$
-Refer to Exhibit 7-1. If you expected return on the Market Index to be 12%, what would you expect the return on RA Computer to be?

• A) 7.26%
• B) 6.75%
• C) 8.00%
• D) 9.37%
• E) -3.29%

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Definitions:

Corporate Social Responsibility

A business model that helps a company be socially accountable to itself, its stakeholders, and the public, by practicing ethical and sustainable business practices.

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Online platforms and technologies that enable users to create, share content, and participate in social networking.

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A company's commitment to manage the social, environmental, and economic effects of its operations responsibly and in accordance with public expectations.

CSR Program

Corporate Social Responsibility program, initiatives by a company to assess and take responsibility for its effects on environmental and social wellbeing.