You want to evaluate the performance of the Industrials sector of your portfolio over the past year. The sector received cash inflows of 60, 50, 80, and 55 at the end of each quarter. The bonds in the sector were purchased at the start of the year for 4,000. The flows into the fund were reinvested in a money market fund at 4.8%. At the end of the year, the portfolio of securities (not including accumulated cash) had value of 4100. What was the Total Return (on a bond equivalent basis) attributable to the Industrial sector portfolio for the year if all cash flows are reinvested at 4.8%?

Essentials of Business Analytics (MindTap Course List)
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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
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Problem 6P: The file MutualFunds contains a data set with information for 45 mutual funds that are part of the...
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You want to evaluate the performance of the Industrials sector of your portfolio
over the past year. The sector received cash inflows of 60, 50, 80, and 55 at the
end of each quarter. The bonds in the sector were purchased at the start of the
year for 4,000. The flows into the fund were reinvested in a money market fund at
4.8%. At the end of the year, the portfolio of securities (not including accumulated
cash) had value of 4100.
What was the Total Return (on a bond equivalent basis) attributable to the
Industrial sector portfolio for the year if all cash flows are reinvested at 4.8%?
Transcribed Image Text:You want to evaluate the performance of the Industrials sector of your portfolio over the past year. The sector received cash inflows of 60, 50, 80, and 55 at the end of each quarter. The bonds in the sector were purchased at the start of the year for 4,000. The flows into the fund were reinvested in a money market fund at 4.8%. At the end of the year, the portfolio of securities (not including accumulated cash) had value of 4100. What was the Total Return (on a bond equivalent basis) attributable to the Industrial sector portfolio for the year if all cash flows are reinvested at 4.8%?
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