A year and half ago, Max purchased 5,000 shares in a mutual fund called Epic Inc. for $15.75/share. Due to COVID-19, the stock was an epic failure and Max decided to sell 3,000 shares on November 30, 2021, when the share price was at $9.55/share. His investment broker counselled him not to sell as the fund was a back-end loaded fund.
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- 5) Your priceless art collection is stolen (the Gregcasso!), you paid $10,000 for it (sorry no insurance) next you sold your Mutual funds for $3,700 and your ACB was $2,250 with no outlays and expenses. Calculate the combined effect of both Dispositions and what is your Capital gain or loss. 6) You purchased 1,000 units of Mutual funds for 10,000 total in 2015. In 2016 you purchased another 500 units at $9.50 a unit, In 2017 another 600 units at $10.50 a unit were purchased and in 2019 400 units at $11 a unit were added. Calculate the average cost base that you would have per unit for the Mutual funds at the end of 2020.The Market Edge Mutual Fund charges a 3 percent back-end load. Todd invested $2,500 in this fund sixteen years ago. Today, the total NAV value of his shares is $9,948 so he decided to withdraw the entire amount and take a month's vacation to tour South America. How much did Todd receive when he made his withdrawal? O $9,948.00 O $10,246.44 O $9,873.00 O $10,023.00 O $9,649.56A year and half ago, Max purchased 5,000 shares in a mutual fund called Epic Inc. for $15.75/share. Due to COVID-19, the stock was an epic failure and Max decided to sell 3,000 shares on November 30, 2021, when the share price was at $9.55/share. His investment broker counselled him not to sell as the fund was a back-end loaded fund. Year funds are redeemed/sold Deferred sales charge Within the first year 6% In the second year 5% In the third year 4% In the fourth year 3% In the fifth year 2% In the sixth year 1% After the sixth year 0% a) What is the amount that Max will receive for the sale of these shares (ignore income taxes)?| Calculate the amount that Max will receive: b) Knowing that capital losses are applied against capital gains, what would be the overall taxes payable if Max sold shares in another company called Save The Day Inc. which resulted in a capital gain in 2021 of $50,000 and the shares in point a)? Max is a resident of Quebec and in the highest tax bracket. See…
- Five years ago, you invested in the Future Investco Mutual Fund by purchasing 1,300shares of the fund at the price of $17.05 per share. Because you did not need the income, you elected to reinvest all dividends and capital gains distributions. Today, you sell your 1,450 shares in this fund for $20.44 per share. If there were a 1% load on this fund, what would your rate of return be?Kathy Myers frequently purchases stocks and bonds, but she is uncertain how to determine the rate of return that she is earning. For example, three years ago she paid $23,000 for 500 shares of Malti Company's common stock. She received a $460 cash dividend on the stock at the end of each year for three years. At the end of three years, she sold the stock for $30,000. Kathy would like to earn a return of at least 13% on all of her investments. She is not sure whether the Malti Company stock provide a 13% return and would like some help with the necessary computations. Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using tables. Required: 1. Compute the net present value that Kathy earned on her investment in Malti Company stock. 2. Did the Malti Company stock provide a 13% return? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the net present value that Kathy earned on her investment…Alan invests a total of $11,000 in three different ways. He invests one part in a mutual fund which in the first year has a return of 11%. He invests the second part in a government bond at 7% per year. The third part he puts in the bank at 5% per year. He invests twice as much in the mutual fund as in the bank. The first year Alan's investments bring a total return of $890. How much did he invest in each way?
- Bob just retired, and wants to move his $600,000 retirement into safer investments. He has found a very safe municipal bond fund paying 3% interest, a riskier corporate bond fund paying 7% interest, and a stock paying 5%. He wants to make sure that the stock recieves 500 more than twice the amount from the safe municipal bond. He wants to invest as little as possible in the riskier account, but needs to earn $37,440 per year to live on. Set up a system of equations that would allow Bob to determine how much to invest in each account. Be sure to define your variables clearly. You do not need to solve the problem, just set it up.Mr. Jonas invested a total of &100,000 in three mutual funds: a growth fund that lost 8%, a balanced fund that gained 3%, and a bond fund that gained 2%. As a result, he lost $1600 on his investment. If he invested $20,000 more in the growth fund in the bond fund, how much did he invest in each fund?9 years ago Mary purchased shares in a certain mutual fund at Net Asset Value (NAV) of $96. She reinvested her dividends into the fund, and today she has 7.7% more shares than when she started. If the fund's NAV has increased by 39.5% since her purchase, compute the rate of return on her investment if she sells her shares today. Round your answer to the nearest tenth of a percent.
- Interest rate. Two mutual fund managers, Martha and David, have been discussing whose fund is the top performer. Martha states that investors bought shares in her mutual fund 11 years ago for $23.00, and those shares are now worth $53.00. David states that investors bought shares in his mutual fund 7 years ago for only $3.60, and they are now worth $8.20. Which mutual fund manager had the higher growth rate for the management period? Should this comparison be made over different management periods? Why or why not? Which mutual fund manager has had the highest growth rate for the management period? (Select the best response.) A. David has had the highest growth rate of 12.48% for the management period. B. David has had the highest growth rate of 7.88% for the management period. C. Martha has had the highest growth rate of 7.88% for the management period. D. Martha has had the highest growth rate of 12.48% for the management period.…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. %