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Delvig [45]
3 years ago
10

Consider a no-load mutual fund with $580 million in assets and 20 million shares at the start of the year and with $630 million

in assets and 21 million shares at the end of the year. During the year investors have received income distributions of $6 per share and capital gain distributions of $0.50 per share. Assuming that the fund carries no debt, and that the total expense ratio is 2%, what is the rate of return on the fund
Business
1 answer:
antiseptic1488 [7]3 years ago
3 0

Answer: 25.86%

Explanation:

Solving this question requires that we use all gains made and divide it by the original Nat Asset Value.

Here goes,

Opening NAV

NAV = Total Assets / No. Of shares

NAV = 580/20

Opening NAV = $29

Closing NAV

NAV = Total Assets / No. Of shares

NAV = 630/21

Closing NAV = $30

Rate of Return.

Calculating the rate of return will be as follows,

= (Closing NAV - Opening NAV + Capital gains distributions + income distributions) / Opening NAV

= (30 - 29 + 6 + 0.5) / 29

= 0.25862068965

= 25.86%

The rate of return on the fund is 25.86%

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"A(n) _________________________ involves the free flow of products and factors of production among member-countries and the adop
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Answer:

"An economic and monetary union involves the free flow of products and factors of production among member-countries and the adoption of a common external trade policy, but it also requires a common currency, harmonization of members tax codes, and a common monetary and fiscal policy."

Explanation:

A monetary and economic union is a common market with a common currency. Monetary unions have not necessarily created a common market; in fact, the only monetary and economic union in the world is the Eurozone of the European Union, made up of members of the Union who have adopted the euro as their state currency. It is considered one of the most advanced stages of economic integration.

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3 years ago
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At its current output level, Pretty Flowers Florist has average fixed costs equal to $5.40 and average variable costs equal to $
lapo4ka [179]

Answer:

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