Question

Hunter invested $9500 in shares of a load mutual fund. The load of the fund is 7?%.

When Hunter purchased the? shares, the NAV per share was ?$92.

A year? later, Hunter sold the shares at a NAV of ?$85 per share.

What is? Hunter's return from selling his shares in the mutual? fund?

Hunter's return from selling his shares in the mutual fund is _%?

Answer 1

Initial Investment $9,500

Less Load Fee (7% of $9500) ($665)

Available                                                   $8,835

Price per share                                         /$92

Number of Shares ($8835/$92) 96

Redemption @$85 per share x $85

Amount Received $8,160

Less Investment ($9,500)

Loss ($1,340)

Investment $9,500

Return [($1,340 / $9,500)*100] - 14.10%`

Hunter's return from selling his shares in the mutual fund is - 14.10 %