Answer:
$2,080 is the correct answer to the given question .
Explanation:
As mention in the question the deposited amount of $2000 was in the year the July, 1, 1999 up to the on the January 1, 2000 it means it takes 1/2 year or 6 months.
Time-weighted rate of the return in the year 1999 is the 8.0%
however it has been spent for the six months, it means the 4% in the 6 month
So the cost of the fund before the investment can be determined by
=
= $2080
Therefore the balance of the fund on the year July 1, 1999= $2080