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Aloiza [94]
3 years ago
6

The new fund had average daily assets of $3.8 billion in the past year. The fund sold $416 million and purchased $516 million wo

rth of stock during the year. What was its turnover ratio? (round your answer to 2 decimal places.)
Business
1 answer:
makvit [3.9K]3 years ago
4 0

The excess of purchases over sales is most likely due to new inflows into the fund.

Therefore only $416 million of stock held by the fund was replaced by new holdings.

Turnover Ratio =  Total sales/ total assets = $416/$3,800 = 10.95% (Rounded to 2 decimals)

Turnover Ratio = 10.95%


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True, A  lot of estimates go into the final calculation to determine market size, and each component needs to be as precise as possible. Otherwise, the errors in the estimation get compounded.

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1 year ago
g Call options on IBM-listed stock options are Group of answer choices created by investors and traded on various exchanges. iss
Scorpion4ik [409]

Answer: Created by investors and traded on various exchanges

Explanation:

Call options are contracts that give the buyer the right to buy the underlying assets of the option on a particular date at a set price by exercising the option. American Call options can be exercised anytime before the date listed in the contract as well.

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3 years ago
All sales are made on credit. Based on past experience, the company estimates 2.5% of ending account receivable to be uncollecti
Misha Larkins [42]

Answer:

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Explanation:

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Debit Bad Debts Expense $12,475

Credit Allowance for Doubtful Accounts $12,475

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