The Bruin Stock Fund sells Class A shares that have a front-end load of 5.1 perc

Question

The Bruin Stock Fund sells Class A shares that have a front-end load of 5.1 percent, a 12b-1 fee of .36 percent, and other fees of 1.12 percent. There are also Class B shares with a 5 percent CDSC that declines 1 percent per year, a 12b-1 fee of 1.65 percent, and other fees of 1.12 percent. Assume the portfolio return is 11 percent per year. 1. What is the value of $1 invested in each share class if your investment horizon is 3 years? (Do not round intermediate calculations. Round your answers to 2 decimal places. Omit the "$" sign in your response.)

What if your investment horizon is 20 years? (Do not round intermediate calculations. Round your answers to 2 decimal places. Omit the "$" sign in your response.)

  Class A $      Class B $   

Explanation / Answer

investment horizon is 20 years

Class A $ to Invest $1.00 Entry Load $0.05 12b-1 fee $0.004 Other Fees $0.01 Net Investment $0.93 Return for 3 year @11% $0.343 Value of Investment in 3 year $1.28

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