On January 3, 2011, Marvel purchased 3,000 shares in equity growth fund at an offering price of $51.10 per share. The front-end load is 6% and back-end load for redemption within one year is 4%. The underlying assets in this mutual increase including the dividends that were reinvested by 7% in 2011 and she sell back her shares at the end of the year. If the operating expense ratio for this fund is 2.5%, what will be her total return from the investment?
On January 3, 2011, Marvel purchased 3,000 shares in equity growth fund at an offering price of $51.10 per share. The front-end load is 6% and back-end load for redemption within one year is 4%. The underlying assets in this mutual increase including the dividends that were reinvested by 7% in 2011 and she sell back her shares at the end of the year. If the operating expense ratio for this fund is 2.5%, what will be her total return from the investment?
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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Transcribed Image Text:On January 3, 2011, Marvel purchased 3,000 shares in equity growth fund at an offering
price of $51.10 per share. The front-end load is 6% and back-end load for redemption
within one year is 4%. The underlying assets in this mutual increase including the dividends
that were reinvested by 7% in 2011 and she sell back her shares at the end of the
year. If
the operating expense ratio for this fund is 2.5%, what will be her total return from the
investment?
(a) -5.70%
(b) 11.30%
(c)-6.34%
(d) 5.87%
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