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Oduvanchick [21]
3 years ago
12

Consider a mutual fund with $203 million in assets at the start of the year and with 10 million shares outstanding. The fund inv

ests in a portfolio of stocks that provides dividend income at the end of the year of $5 million. The stocks included in the fund's portfolio increase in price by 7%, but no securities are sold, and there are no capital gains distributions. The fund charges 12b-1 fees of 0.75%, which are deducted from portfolio assets at year-end. What is the rate of return for an investor in the fund?
Business
1 answer:
balu736 [363]3 years ago
6 0

Answer:

8.66%

Explanation:

The computation of the rate of return for the investor in the fund is as follows:

= (Net assets at the end  + dividend per share  - nav at the beginning of the year) ÷ (nav at the beginning of the year)

where,

Net assets at the end is

= $203 million + $203 million × 7% - ($217.21 million × 0.75%)

= $203 million + $14.21 million - $1.6291 million

= $217.21 million - $1.6291 million

= $215.58093 million

Dividend per share is

= $5 million ÷ 10 million shares

= 0.5

Nav at the beginning of the year is

= $203 million ÷ 10 million shares

= $20.3

Now the rate of return is

= ($215,.58093 + 0.5 - $20.3) ÷ ($20.3)

= 8.66%

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Allen Lumber Company had earnings after taxes of $750,000 in the year 2015 with 300,000 shares outstanding on December 31, 2015.
GarryVolchara [31]

Answer:

Earning per share for the year 2016 is $2.68

Explanation:

For computing the earning per share, we have to use the formula of earning per share which is shown below:

= Net income ÷ total number of outstanding shares

where,

Net income is $937,500

And, the total number of outstanding shares equals to

= 2015 shares + 2016 shares

= 300,000 + 50,000

= 350,000

Now put these values to the above formula

So, the earning per share would be equals to

= $937,500  ÷ 350,000 shares

= $2.68

The earning after tax is not considered. Thus, it is ignored.

Hence, earning per share for the year 2016 is $2.68

4 0
3 years ago
logistics plans are executed and altered over the many years of deployed operation, with operations and support (O
Maru [420]

Logistics Planning. Logistics is the process that creates value by timing and positioning inventory; it is the combination of a firm's order management, inventory, transportation, warehousing, materials handling, and packaging as integrated throughout a facility network.

<h3>How do I create a logistics plan?</h3>
  • Have Reliable and Good Suppliers. Every company needs to get products and materials needed to produce its product. ...
  • Optimize Inventory Management. ...
  • Integrate the Company Divisions. ...
  • Meet Deadlines and Keep your Word.

<h3>How long is a Air Force logistics Tech School?</h3><h3>27 days</h3>

This initial training is required for all non-prior service personnel and is 8.5 weeks long.

After graduation from basic training, you'll be sent to your tech school at Lackland Air Force Base (the same base as basic training), which is 27 days long.

Learn more about logistics here:

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4 0
1 year ago
Anna and ben are up for the same promotion at work. when it comes time to make a decision, the management committee chooses ben
harkovskaia [24]
I believe that Anna has just encountered a glass ceiling. 
This means that Anna has encountered a barrier that her from rising to the level of management committee through promotion simply because she is a woman.This term is extended to refer to the obstacles that hinder the advancement of minority women. It is often difficult for minority women to rise to ranks  simply because of their responsibilities, color and discrimination. In this case, Anna being a good mother to her children makes the management think that she wont want more responsibilities. 
3 0
3 years ago
Read 2 more answers
A Japanese investor can earn a 1 percent annual interest rate in Japan or about 4.1 percent per year in the United States. If th
Whitepunk [10]

Answer: 97.99

Explanation:

The one-year forward rate that an investor would be indifferent between the U.S. and Japanese investments will be:

= Spot rate × (1 + Japanese rate / 1 + U.S rate)

= 101 × (1 + 1% / 1 + 4.1%)

= 101 × [(1 + 0.01) / (1 + 0.041)]

= 101 × (1.01/1.041)

= 101 × 0.9702209

= 97.99

4 0
3 years ago
How is your opportunity cost of taking this course online different than taking it on-campus?
olga_2 [115]

Answer:

Online classes is new trend now these days. Both ways have their own advantage and disadvantages.

Explanation:

Now these days the trend of online classes are on top. This is not a longer novelty. This mode of learning changes the structure and experience of the class.

It is not necessary that the changes could be right for all. There are some advantage of online classes.

  • Flexible schedule
  • Faster completion
  • To study anytime
  • To login from anywhere
  • To access the more colleges
  • No commute

It has potentially lower cost

But in traditional classroom in campus, you have to attend the classes at campus. You will meet new people. Students get socialize with another students and new people

Both way of taking course have advantage and disadvantage.

8 0
3 years ago
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