14. You purchased shares in Congo fund that has NAV of $10,000, securities in which the fund invests increase in value by 12% each year you decided to sell the shares after 2 years. The fund pays a back-end load of 2%, your net proceeds from the sale equal: * A) $12,293 B) $12,544 O C) $12,000 D) $10,000 E) None of the above

14. You purchased shares in Congo fund that has NAV of $10,000, securities in which the fund invests increase in value by 12% each year you decided to sell the shares after 2 years. The fund pays a back-end load of 2%, your net proceeds from the sale equal: * A) $12,293 B) $12,544 O C) $12,000 D) $10,000 E) None of the above

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Similar questions

You deposit the following, at the end of each year, into a growth mutual fund that earns 8% per year. Calculate the future total value of the fund at the end of 5 years. Enter Your answer rounded to decimal places, no dollar sign, ex. 5100.54 Year Deposit 1 8,000 2 6,000 3 4,500 4 9,500 5 6,000
You purchased 1,200 shares of Guarantee Fund at a price of $30 per share at the beginning of the year. You paid a front-end load of 4%. The securities in which the fund invests increase in value by 10% during the year. The fund's expense ratio is 1.2%. What is your rate of return on the fund if you sell your shares at the end of the year?
1. A mutual fund has an offer price of $7.82 per share and a net asset value of $7.41. What is the sales charge percent? (Round to the nearest tenth.) A. 5.2% B. 5.5% C. 6.5% D. 94.8% 2. If Tanya's husband were to die, she and her children could live on $64,400 per year. Tanya makes $35,100 annually, and estimates additional income of $21,500 from other sources. How much insurance should she purchase on her husband to cover the shortfall, assuming a 16.7% prevailing interest rate? (Round your answer to the nearest $1,000.) A. $40,000 B. $42,000 C. $47,000 D. $48,000
You invested in the no-load Best Mutual Fund one year ago by purchasing 700 shares of the fund at the net asset value of $19 08 per share. The fund distributed dividends of $2.44 and capital gains of $2.22 Today, the NAV is $20 16 What was your holding period return? Your holding penod return was (Round to two decimal places) COND
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1.
Estimating Returns. Hunter invested $8,200 in shares of a load mutual fund. The load of the fund is 7%. When Hunter purchased the shares, the NAV per share was $81. A year later, Hunter sold the shares at a NAV of $78 per share. What is Hunter's return from selling his shares in the mutual fund? Hunter's return from selling his shares in the mutual fund is -4.65 %. (Round to two decimal places and include a negative sign where appropriate.)
Consider a mutual fund with $218 million in assets at the start of the year and with 10 million shares outstanding. The fund invests in a portfolio of stocks that provides dividend income at the end of the year of $4 million. The stocks included in the fund's portfolio increase in price by 8%, but no securities are sold, and there are no capital gains distributions. The fund charges 12b-1 fees of 1.00%, which are deducted from portfolio assets at year-end. Required: a. What is the net asset value at the start and end of the year? (Enter your answers in dollars rounded to 3 decimal places.) × Answer is complete but not entirely correct. Net Asset Value Start of the year $ End of the year $ 69 21.800 Per share 23.705 x Per share b. What is the rate of return for an investor in the fund? (Do not round intermediate calculations. Round your answer to 2 decimal places.) × Answer is complete but not entirely correct. Rate of 10.57 % return
Vinay
One year ago you bought 100 shares of a mutual fund for $14.50 per share, and you received a $0.52 per - share capital gain distribution during the past 12 months. The fund has an annual 12b-1 fee of 0.35 percent and an expense ratio of 1.65 percent. The market value of the fund is now $18. Calculate the total dollar return for this investment if you were to sell it now. (Convert and round to 2 decimals) Calculate the total percentage return for this investment if you were to sell it now. (Convert and round to 1 decimal)
Twelve months ago, you purchased the shares of a no-load mutual fund for $22.35 per share. The fund distributed cash dividends of $0.70 and capital gains of $1.60 per share. If the net asset value of the fund is currently $24.45, what was your annual return on the investment? Round your answer to two decimal places. % If the value of the shares had been $21.32, what would have been your annual return? Round your answer to two decimal places. %
What are the After-tax annualized returns from the following two funds if you invest $1000 in each of them? Assume: You invest for 4 years (hold investments till end of 4th year) and sell your shares at the beginning of 5th year. Tax rate is 25%. Fund B: Distributes 5% Distributed Income return per period. Provides 5% Capital Gain Return Per Period.

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