0 The reinvestment of capital gains and dividends can make a significant difference in your total return. Consider the following situation to determine the difference reinvestment can make over a five-year period. Initial purchase amount $11,000 Initial purchase date January 1 Initial purchase price $16.26 per share Annual capital gains distribution rate 1.94% Annual dividend distribution rate 0.91% Annual price appreciation rate 8.76% (before distribution) Assume all distributions are made on the last day of the year at the closing net asset value (NAV). Ignore tax consequences for the scenarios in a and b, below. a. Calculate the ending investment value plus the total of distributions received assuming no reinvestment. b. Calculate the ending investment value assuming all distributions are reinvested. c. Calculate and explain the difference. a. The ending investment value plus the total of distributions received assuming no reinvestment is $. (Round to the nearest cent.) b. The ending investment value assuming all distributions are reinvested is $167393.49. (Round to the nearest cent.) c. Calculate and explain the difference. (Select the best answer below.) A. The difference of $494.42 is attributable to the compounded return of the reinvested dividends and capital gains. B. There is no difference in the ending investment value between reinvesting or not C. The difference of S494.42 is attributable to the compounded return of the reinvested dividends. D. The difference of $1,991.42 is attributable to the compounded return of the reinvested dividends and capital gains. E. The difference of $2,525.25 is attributable to the compounded return of the reinvested dividends. 0 The reinvestment of capital gains and dividends can make a significant difference in your total return. Consider the following situation to determine the difference reinvestment can make over a five-year period. Initial purchase amount $11,000 Initial purchase date January 1 Initial purchase price $16.26 per share Annual capital gains distribution rate 1.94% Annual dividend distribution rate 0.91% Annual price appreciation rate 8.76% (before distribution) Assume all distributions are made on the last day of the year at the closing net asset value (NAV). Ignore tax consequences for the scenarios in a and b, below. a. Calculate the ending investment value plus the total of distributions received assuming no reinvestment. b. Calculate the ending investment value assuming all distributions are reinvested. c. Calculate and explain the difference. a. The ending investment value plus the total of distributions received assuming no reinvestment is $. (Round to the nearest cent.) b. The ending investment value assuming all distributions are reinvested is $167393.49. (Round to the nearest cent.) c. Calculate and explain the difference. (Select the best answer below.) A. The difference of $494.42 is attributable to the compounded return of the reinvested dividends and capital gains. B. There is no difference in the ending investment value between reinvesting or not C. The difference of S494.42 is attributable to the compounded return of the reinvested dividends. D. The difference of $1,991.42 is attributable to the compounded return of the reinvested dividends and capital gains. E. The difference of $2,525.25 is attributable to the compounded return of the reinvested dividends