Loaded- Up Fund charges another fee of 1.0 percent and maintains an expense ratio of .75 percent.

Question:

Loaded- Up Fund charges another fee of 1.0 percent and maintains an expense ratio of .75 percent. Economy Fund charges a front- end load of 2 percent but has no other fees and an expense ratio of .25 percent. Assume the rate of return on both funds’ portfolios (before any fees) is 6 percent per year. Assuming $ 1,000 investment, how much will an investment in each fund grow to after

a. 1 year

b. 3 years

c. 10 years

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Investments

ISBN: 978-0071338875

8th Canadian Edition

Authors: Zvi Bodie, Alex Kane, Alan Marcus, Stylianos Perrakis, Peter

Question Posted: