1. The balance of a mutual fund on January 1, 2021 is 1,000. The following table includes all cash flow information over the one-year period ending on December 31, 2021: Date Value of fund immediately Cash flow zam prior to the cash flow 1,200 1,500 1,100 200 -500 200 March 31, 2021 June 30, 2021 September 30, 2021 The balance of the mutual fund on December 31, 2021, is X. The annual effective time weighted rate of return 20.888%. Using a simple interest approximation, determine the dollar weighted rate of return.

Essentials of Business Analytics (MindTap Course List)
2nd Edition
ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Chapter3: Data Visualization
Section: Chapter Questions
Problem 6P: The file MutualFunds contains a data set with information for 45 mutual funds that are part of the...
icon
Related questions
Question
1. The balance of a mutual fund on January 1, 2021 is 1,000. The following table
includes all cash flow information over the one-year period ending on December 31,
2021:
isak) sopbudiyrove to bae ad te (X
Date
(0) X aysq
Value of fund immediately Cash flow zamil
prior to the cash flow
1,200
1,500
1,100
200
-500
200
March 31, 2021
June 30, 2021
September 30, 2021
The balance of the mutual fund on December 31, 2021, is X.
The annual effective time weighted rate of return 20.888%.
Using a simple interest approximation, determine the dollar weighted rate of return.
Transcribed Image Text:1. The balance of a mutual fund on January 1, 2021 is 1,000. The following table includes all cash flow information over the one-year period ending on December 31, 2021: isak) sopbudiyrove to bae ad te (X Date (0) X aysq Value of fund immediately Cash flow zamil prior to the cash flow 1,200 1,500 1,100 200 -500 200 March 31, 2021 June 30, 2021 September 30, 2021 The balance of the mutual fund on December 31, 2021, is X. The annual effective time weighted rate of return 20.888%. Using a simple interest approximation, determine the dollar weighted rate of return.
Expert Solution
steps

Step by step

Solved in 4 steps with 3 images

Blurred answer
Knowledge Booster
Investment Companies
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Essentials of Business Analytics (MindTap Course …
Essentials of Business Analytics (MindTap Course …
Statistics
ISBN:
9781305627734
Author:
Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning