Question

economy fund charges a front-end load of 4%, but has no 12b-1 fee. assume the rate...

economy fund charges a front-end load of 4%, but has no 12b-1 fee. assume the rate of return net of operating expenses is 7.5% per year for the fund and initial investment of $10,000.how much is the value of the fund in 12 years?

Homework Answers

Answer #1

SEE THE IMAGE. ANY DOUBTS, FEEL FREE TO ASK. THUMBS UP PLEASE

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Loaded-Up Fund charges a 12b-1 fee of 1.00% and maintains an expense ratio of 0.50%. Economy...
Loaded-Up Fund charges a 12b-1 fee of 1.00% and maintains an expense ratio of 0.50%. Economy Fund charges a front-end load of 3.0%, but has no 12b-1 fee and an expense ratio of 0.25%. Assume the rate of return on both funds’ portfolios (before any fees) is 12% per year. How much will an investment of $1,000 in each fund grow to after: 1 year 3 years 10 years
Loaded-Up Fund charges a 12b-1 fee of 1.00% and maintains an expense ratio of 0.75%. Economy...
Loaded-Up Fund charges a 12b-1 fee of 1.00% and maintains an expense ratio of 0.75%. Economy Fund charges a front-end load of 2.0%, but has no 12b-1 fee and an expense ratio of 0.25%. Assume the rate of return on both funds’ portfolios (before any fees) is 9% per year. How much will an investment of $1,000 in each fund grow to after: (Round your answers to 2 decimal places.) year 1 Loaded up fund Economy Fund year 3 uear10
Loaded-Up Fund charges a 12b-1 fee of 0.75% and maintains an expense ratio of 0.75%. Economy...
Loaded-Up Fund charges a 12b-1 fee of 0.75% and maintains an expense ratio of 0.75%. Economy Fund charges a front-end load of 2.5%, but has no 12b-1 fee and an expense ratio of 0.25%. Assume the rate of return on both funds’ portfolios (before any fees) is 7% per year. How much will an investment of $1,000 in each fund grow to after: (Round your answers to 2 decimal places.) 1 year? Loaded Up Fund Economy Fund 3 year? Loaded...
Loaded-Up Fund charges a 12b-1 fee of 0.75% and maintains an expense ratio of 0.50%. Economy...
Loaded-Up Fund charges a 12b-1 fee of 0.75% and maintains an expense ratio of 0.50%. Economy Fund charges a front-end load of 3.0%, but has no 12b-1 fee and an expense ratio of 0.25%. Assume the rate of return on both funds’ portfolios (before any fees) is 10% per year. How much will an investment of $1,000 in each fund grow to after: (Round your answers to 2 decimal places.) ONLY NEED ANSWERS OF ECONOMY FUND PART B AND C...
You have $10,000 to invest and are considering two mutual funds: No-load Fund and Economy Fund....
You have $10,000 to invest and are considering two mutual funds: No-load Fund and Economy Fund. The No-load Fund charges a 12b-1 fee of 1% and maintains an expense ratio of 0.50%. The Economy Fund charges a front-end load of 4%, but has no 12b-1 fee and an expense ratio of 0.50%. Assume that the rate of return on both funds’ portfolios (before any fees) is 8% per year. If you plan to buy and hold for three years, which...
The Global Growth Fund is a load fund with a 4 percent front load fee. It...
The Global Growth Fund is a load fund with a 4 percent front load fee. It started the year with a net asset value (NAV) of $16.00. During the year the fund distributed $1.15, and at the end of the year its NAV was $17.80. What was the fund's return, and what was an investor's return? Round your answers to two decimal places. The fund's return: Return on the individual's investment: Why are they different? The answers are different because...
A fund sells Class A shares with a front-load of 5% and Class B shares with...
A fund sells Class A shares with a front-load of 5% and Class B shares with 12b-1 fees of 0.5% as well as back-end load fees that start at 6% and fall by 1% for each holding year. Assume that the fund return net of operating costs is 10% annually. What will be the value of a $10,000 investment in Class A and B if the shares are sold after (a) 1 year, (b) 4 years, or (c) 10 years?...
Suppose an individual invests $10,000 in a load mutual fund for two years. The load fee...
Suppose an individual invests $10,000 in a load mutual fund for two years. The load fee entails an up-front commission charge of 3 percent of the amount invested and is deducted from the original funds invested. In addition, annual fund operating expenses (or 12b-1 fees) are 0.80 percent. The annual fees are charged on the average net asset value invested in the fund and are recorded at the end of each year. Investments in the fund return 8 percent each...
Suppose an individual invests $26,000 in a load mutual fund for two years. The load fee...
Suppose an individual invests $26,000 in a load mutual fund for two years. The load fee entails an up-front commission charge of 3.0 percent of the amount invested and is deducted from the original funds invested. In addition, annual fund operating expenses (or 12b-1 fees) are 0.61 percent. The annual fees are charged on the average net asset value invested in the fund and are recorded at the end of each year. Investments in the fund return 6 percent each...
Suppose an individual invests $32,000 in a load mutual fund for two years. The load fee...
Suppose an individual invests $32,000 in a load mutual fund for two years. The load fee entails an up-front commission charge of 3.6 percent of the amount invested and is deducted from the original funds invested. In addition, annual fund operating expenses (or 12b-1 fees) are 0.67 percent. The annual fees are charged on the average net asset value invested in the fund and are recorded at the end of each year. Investments in the fund return 7 percent each...