1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
snow_lady [41]
3 years ago
12

You purchased 3,000 shares of the New Fund at a price of $25 per share at the beginning of the year. You paid a front-end load o

f 4%. The securities in which the fund invests increase in value by 12% during the year. The fund's expense ratio is 1.8%. What is your rate of return on the fund if you sell your shares at the end of the year?
Business
1 answer:
iren2701 [21]3 years ago
3 0

Answer:

4.256%

Explanation:

Since the front load of 4% of the portfolio has been paid, therefore the value of the portfolio has been reduced to 96%(100%-4%).

The value of the investment has been increased by 10% with expense ratio of 1.8%, the rate of return on the fund on the shares at the end of the year shall be calculated as follows:

1+i=96%(1+10%-1.4%)

where i=rate of return on shares

1+i=1.04256

i=1.04256-1=4.256%

You might be interested in
Tyson Inc. is currently trading at $18 per share. The company is expected to pay a dividend of $1.63/per share next year. The di
viktelen [127]

Answer:

$20.38  buy

Explanation:

The computation of present value is shown below:-

Fair Value according to Gordon Model = Expected Div ÷ (Required Return - Growth rate)

= $1.63 ÷ (10.5% - 2.5%)

= $1.63 ÷ 8%

= $20.38

Fair Price = $ 20.38 and Actual Price = $18.00

As Fair Price is greater than the Actual Price so, the stock is under priced. Therefore advice to buy.

5 0
3 years ago
________ is the process of distributing indirect costs to products. cost allocation job cost recording cost pooling cost tracing
tatuchka [14]
I believe the answer is cost allocation.
3 0
3 years ago
Read 2 more answers
Spielberg Inc. signed a $170,000 noninterest-bearing note due in five years from a production company eager to do business. Comp
GaryK [48]

Answer:

$100,890

Explanation:

To determine the value of the debt we must calculate the present value of the note:

present value = future value of the note / (1 + interest rate)⁵

present value = $170,000 / (1 + 11%)⁵ = $170,000 / 1.11⁵ = $170,000 / 1.685

present value = $100,890

7 0
3 years ago
The price of houses in Bellevue area has been increasing by 10% since last year, according to Zillow.coma.) This is a normative
Andre45 [30]

Answer:

option D  This is a positive statement

Explanation:

According to the Positive statement , it is factual and simply describing in nature.

The statement is not judgmental in nature.

While the Normative statement is judgmental in nature

Also, normative statement specifies what ought to be done.

In the statement given in the question, fact is providing about the Bellevue area by Zillow.com.

4 0
3 years ago
A. M&R Company provided $2,000 in services to customers that are expected to pay the company sometime in January following t
AleksAgata [21]

Answer and Explanation:

The Journal entries are shown below:-

a. Accounts receivable Dr, $2,000  

          To Service revenue $2,000

(Being service revenue is recorded)

b. Wages expenses Dr, $1,000  

          To Wages payable $1,000

(Being wage expenses is recorded)

c. Interest expenses Dr, $400  

    To Interest payable $400

(Being interest expenses is recorded)

d. Lawn service expenses $500  

    To Accounts payable $500

(Being lawn service expenses is recorded)

e. Interest receivable $200  

     To Interest revenue $200

(Being interest revenue is recorded)

f. Salaries expenses $900  

     Salaries payable $900

(Being salary expenses is recorded)

3 0
3 years ago
Other questions:
  • Broke Benjamin Co. has a bond outstanding that makes semiannual payments with a coupon rate of 6 percent. The bond sells for $98
    8·1 answer
  • The company has grown rapidly, and the expanded workforce includes people in many locations and of diverse backgrounds, leading
    6·1 answer
  • If your credit reports show different scores, what should you do?
    9·2 answers
  • Which questions can help someone who is starting to think about personal vision and goals? Select all that apply. What activitie
    10·2 answers
  • Can anyone please tell me the right answer
    9·1 answer
  • A company's mission statement does NOT:_____.
    11·1 answer
  • The marginal physical product of labor is Group of answer choices the slope of the total output curve at the relevant point. the
    6·1 answer
  • RamsayRamsay Travel offers helicopter service from suburban towns to John F. Kennedy International Airport in New York City. Eac
    12·1 answer
  • term insurance covers the insured for the stated term of the policy. true false user: two statements are true of ordinary whole-
    8·2 answers
  • You are choosing between two goods, X and Y, and your marginal utility from each is as shown in the table above. If your income
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!