Clark purchased 227 shares of a mutual fund with an offering price and NAV of $35.03 per share a year ago. Today, the NAV is $33.52 per share and the fund has just distributed $3.23 per share in long- term gains. What is Clark's rate of return? A. -4.31% B. 4.91% C. 5.13% D. 13.53% E. 14.29%

Clark purchased 227 shares of a mutual fund with an offering price and NAV of $35.03 per share a year ago. Today, the NAV is $33.52 per share and the fund has just distributed $3.23 per share in long- term gains. What is Clark's rate of return? A. -4.31% B. 4.91% C. 5.13% D. 13.53% E. 14.29%

Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter13: Investing In Mutual Funds, Etfs, And Real Estate

Section: Chapter Questions

Problem 7FPE

See similar textbooks

Related questions

Q: Right Answer

A: The Time Value of Money (TVM) concept states that a dollar today is worth more than a dollar in the…

Q: Consider the following project which costs $2,000 with a salvage value of zero in 4 years. The…

A: Let's calculate the firm's degree of operating leverage (DOL). The DOL measures how sensitive the…

Q: (GENERAL ACCOUNTING PROBLEM)

A: Given:Investment Outlay = $505,000Future Cash Inflow = $660,000Cost of Capital Rate = 13% 1. Cost of…

Q: Accounting 12

A: Step 1: Identify cash inflows (revenue received in cash) during the yearStep 2: Identify cash…

Q: What were the total sales for the year ?

A: Step 1: Definition of Contribution Margin and Breakeven PointThe Contribution Margin Ratio…

Q: Sauerbraten Corp. reported 2007 sales ($ in millions) of $2,157 and a cost of goods sold of $1,827.…

A: To determine the gross profit under the FIFO method, we use the formula: Gross Profit = Sales - Cost…

Q: None

A: 1. Calculate Expected Overhead:Expected Overhead = Actual Machine Hours * Standard Rate per…

Q: This means that her variable cost? General accounting

A: Step 1: Definition of Variable CostVariable Cost refers to the costs that change directly with the…

Q: Financial accounting

A: Step 1: Define Inspection Cost AllocationInspection cost allocation refers to distributing overhead…

Q: Financial Accounting Question provide solution

A: Step 1: Define Contribution Margin and Contribution Margin RatioThe Contribution Margin is the…

Q: hello, can you give correct answer

A: Step 1:The net income is calculated by deducting the operating expense and income tax expense from…

Q: Financial

A: To calculate the contribution margin per unit, we follow these steps:Contribution Margin = Sales…

Q: Hello teacher please help me this question

A: STEP 1.Profit Margin for Children and Store Profit Margin1.Profit Margin for ChildrenThe child earns…

Q: What is the value of its total liabilities??

A: Step 1: Define Accounting equationThe accounting equation is a basic accounting framework and a key…

Q: Financial Accounting

Q: General Accounting can you please answer?

A: Step 1: Define Variable CostingVariable Costing includes only the variable manufacturing costs in…

Q: What is the total amount of your capital gains on this investment? General accounting

A: To calculate the total capital gains from your investment in ABC Co., follow these steps:1.…

Q: General accounting

A: Explanation of Sales Volume Variance:The Sales Volume Variance measures the difference between the…

Q: Hi expert please give me answer general accounting question

A: Given:Owner's equity = $80,000Additional owner investment = $95,000Expenses = $325,000Drawings =…

Q: Ans

A: The land should be recorded in the purchaser's books at its purchase price, which is the amount…

Q: What is the amount of Stockholders' equity at the end of the year on these general accounting…

A: Step 1: Calcualte the total assets at the end of the year as follows:Total assets at the end = Total…

Q: Financial Accounting Question please solve

A: To calculate the direct labor cost, use the formula: Direct Labor Cost = Total Manufacturing Costs -…

Q: None

A: Step 1: Definition of TurnoverTurnover, in this context, refers to the asset turnover ratio, which…

Q: Bravos direct labor cost of the fiscal year?

A: Direct materials32000givenopening stock of raw material0not givenAdd: purchases40000givenLess:…

Q: Answer? ? Financial accounting question

A: Step 1: Analysis of information givenRate of preferred dividend = 11%Par value = $75Selling price of…

Q: General Account

A: Definition of Units Started in ProductionUnits started in production refers to the total number of…

Q: What amount should be debited to the patent account? General accounting

A: Step 1: Definition of PatentsA patent is an intangible asset that grants the holder exclusive rights…

Q: 2.5.3 financial accounting problem

A: Explanation of Rate Earned on Total Assets:The Rate Earned on Total Assets is a profitability ratio…

Q: Kindly help me with accounting questions

A: Step 1:Gross Profit is the amount left after paying cost of goods sold from sales revenue. Gross…

Q: Financial information is presented below: Operating expenses $59,000 Sales returns and allowances…

A: To calculate Gross Profit, use the formula: Gross Profit = Sales Revenue - Sales Returns and…

Q: Marcus Company makes a single product. The company has monthly fixed costs totaling $200,000 and…

A: Explanation of Fixed Costs: Fixed costs are expenses that remain constant regardless of the…

Q: Pioneer Manufacturing has fixed costs of $60,000 and variable costs of $40 per unit. If they sell…

A: Concept of Fixed Costs:Fixed costs are expenses that do not change with the level of production or…

Q: Part 1 & 2

A: Explanation of Overhead Costs:Overhead costs are the indirect costs incurred by a business that…

Q: What is your average cost per visit ?

A: Step 1: Definition of Variable CostVariable Cost refers to the costs that vary directly with the…

Q: Please given correct answer general accounting

A: To calculate the gross profit ratio (or gross margin ratio), use the following formula: Gross Profit…

Q: Punch Manufacturing Corporation owns 80 percent of the common shares of Short Retail Stores. The…

A: First, we need to calculate the consolidated net income. This is done by adding the net income of…

Q: help

A: Explanation of Predetermined Overhead Rate:The predetermined overhead rate is a rate used to…

Q: I need this question answer financial accounting

A: Step 1: Define Capital GainsIn finance, the capital gains refers to the increase in the total value…

Q: Under full costing

A: Step 1: Calculate Total Production Costs: Add Variable Production Costs and Fixed Production…

Q: Expert need your advice

A: Explanation of Job Costing System: A job costing system is a method of cost accounting that tracks…

Q: Financial Accounting

A: Step 1: Define Applied OverheadApplied Overhead refers to the amount of overhead cost allocated to…

Q: Statement of Cost of Goods Manufactured for a Manufacturing Company Cost data for Firetree…

A: a. With the cost of goods manufactured statement, you pretty much figured out the right items and…

Q: None

A: To determine the selling price per unit, we use the profit formula:Profit=(Selling Price per…

Q: Kindly help me with accounting questions

A: Detailed explanation:Given:Annual dividend next year, $ 2.20Current Share Price, $ 50 Market Rate of…

Q: Get correct answer accounting questions

A: Let's identify the key information:Sales revenue = $180,000Contribution margin ratio = 0.40Operating…

Q: Provide correct answer general Accounting question

A: Step 1: Define Profitability Index (PI)The Profitability Index (PI) is a financial metric that…

Q: A corporation borrows solve this question general Accounting

A: Step 1: Define Tax Deductible ExpensesTax-deductible expenses are those expenses that are allowed to…

Q: None

A: The rate of return is calculated using the formula:Rate of Return=Gain from Investment/Initial…

Q: Financial Accounting

A: Step 1:First calculate the sales in dollars: Sales in dollars = (Fixed cost + Desired profit) /…

Q: General Account

A: To calculate the materials quantity variance, we use the formula: Materials Quantity…

Question

Provide correct answer financial accounting question

Clark purchased 227 shares of a mutual fund with an offering price
and NAV of $35.03 per share a year ago. Today, the NAV is $33.52
per share and the fund has just distributed $3.23 per share in long-
term gains.
What is Clark's rate of return?
A. -4.31%
B. 4.91%
C. 5.13%
D. 13.53%
E. 14.29%

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Suppose that you initially invested 10,000 in the Stivers mutual fund and 5,000 in the Trippi mutual fund. The value of each investment at the end of each subsequent year is provided in the table: Which of the two mutual funds performed better over this time period?
Bha
Assume that one year ago, you bought 220 shares of a mutual fund for $25 per share and that you received an income dividend of $0.32 cents per share and a capital gain distribution of $1.05 per share during the past 12 months. Also assume the market value of the fund is now $27.50 a share. Calculate the total return for this investment if you were to sell it now. Round answer to 2 decimal places.
Assume that one year ago, you bought 210 shares of a mutual fund for $24 per share and that you received an income dividend of 50.31 cents per share and a capital gain distribution of $1.04 per share during the past 12 months. Also assume the market value of the fund is now $26.50 a share. Calculate the total return for this investment if you were to sell it now.
Vinay
Subject:- finance
Suppose you invested $100 in the Ishares High Yield Fund (HYG) a month ago. It paid a dividend of $3 today and then you sold it for $96 What was your dividend yield and capital gains yield on the investment? OA. 3%, -4% OB. -3%, 4% O C. 4%, 3% OD. 3%, 4% SITE
I bought 750 shared for $20.75 a share. At the end of the year I received income dividends of .12/share & capital gains distribution of .06/share. At the end of 12 months the shares sold for $15.75. What is the total return for this fund? What is the percentage of total return?
Twelve months ago, you purchased the shares of a no-load mutual fund for $22.05 per share. The fund distributed cash dividends of $0.70 and capital gains of $1.30 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 $21.14, what would have been your annual return? Round your answer to two decimal places. %
K Compute the total and annual returns on the following investment. Six years after purchasing shares in a mutual fund for $7800, the shares are sold for $11,400. The the total return is %. (Do not round until the final answer. Then round to one decimal place as needed.) The annual return is %. (Do not round until the final answer. Then round to one decimal place as needed.)
Twelve months ago you purchases shares of a no-load mutual fund for $22.25 per share. The fund distributed cash dividends of $0.90 and capital gains of $1.25 per share. If the net asset value is $24.45, what was the annual rate of return?
Suppose you invested $100 in the Ishares High Yield Fund (HYG) a month ago. It paid a dividend of $4 today and then you sold it for $100. What was your dividend yield and capital gains yield on the investment? O A. 3%, 4% OB. 2%, 4% OC. 0%, 4% O D. 4%, 0%