The Emerging Growth and Equity Fund is a “low-load” fund. The current offer pric
ID: 2729448 • Letter: T
Question
The Emerging Growth and Equity Fund is a “low-load” fund. The current offer price quotation for this mutual fund is $16.2, and the front-end load is 1.8 percent.
If there are 23.1 million shares outstanding, what is the current market value of assets owned by the fund? (Do not round intermediate calculations and round market value answer to the nearest whole dollar. Omit the "$" sign in your response.)
1. What is the NAV? (Round your answer to 2 decimal places. Omit the "$" sign in your response.)Explanation / Answer
1)
Net assets value:
= Offer price÷(1+Front end load)
= $16.20÷(1+1.80%)
= $15.91
2)
Market value of assets:
= 23,100,000×$15.91
= $367,521,000
Related Questions
Hire Me For All Your Tutoring Needs
Integrity-first tutoring: clear explanations, guidance, and feedback.
Drop an Email at
drjack9650@gmail.com
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.