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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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Explanation:

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A) allows us to make interpersonal utility comparisons.

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B. Unlike HR planning, a staffing plan identifies only the company's present hiring needs.

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Unlike HR planning, a staffing plan is aimed at identifying the immediate employment needs of the company and filling them up. In businesses, HR planning is very vital to building sustainability. Staffing is also important but it only considers the interim.

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8 0
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"jasper company, inc. Is a wholesaler that buys merchandise in large quantities. Its supplier's catalog indicates a list price o
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In Vintland, sanitation engineers are being replaced with garbage robots, which have fewer negative effects and many more signif
pychu [463]

Answer: GDP decreases and standard of living increases

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Based on the information given, the short-run effects of this industrial change on Vintland's GDP and its standard of living is that there'll be a reduction in the gross domestic product and an increase in the standard of living.

The reduction in GDP will be as a result of the reduction in the price of collecting garbage. On the other hand, the replacement of the sanitation engineers with the garbage robots will have fewer negative effects and many more significant benefits, thereby increasing standard of living.

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