The composition of the Fingroup Fund portfolio is as
follows:
| Stock | Shares | Price | ||
| A | 380,000 | $ | 40 | |
| B | 480,000 | 45 | ||
| C | 580,000 | 10 | ||
| D | 780,000 | 15 | ||
The fund has not borrowed any funds, but its accrued management fee
with the portfolio manager currently totals $35,000. There are 4
million shares outstanding. What is the net asset value of the
fund? (Round your answer to 2 decimal places.)
Calculation of Fund assets:
| Stock | Shares (1) | Price (2) | Stock Value (3) (1*2) |
| A | 380,000 | 40 | 152,00,000 |
| B | 480,000 | 45 | 216,00,000 |
| C | 580,000 | 10 | 5800,000 |
| D | 780,000 | 15 | 117,00,000 |
| Stock value | 543,00,000 |
Fund assets/Stock value = 543,00,000
Fund liabilities/Management fee = 35,000
No.of shares Outstanding = 40,00,000 (4Million = 4*10L= 40L)
Net asset value of the fund = Fund assets - Fund liabilities/No.of shares outstanding
= 543,00,000-35,000/40,00,000
= 542,65,000/40,00,000
= 13.56
Net asset value = 13.56
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