1) You have 5,000 to invest and you are considering investing in Fund A. The fun charges a front end load of 5.5% and an annual expense fee of 1.25% of the average assest value over the year. You believe the fund's gross rate of return will be 10% per year. If you make the investment what should your investment be worth in one year? Please show work

A) 5,135.48

B) 5,197.50

C) 5,500.00

D) 5,431.25

E) 5,162.50

2) You have $8,000 to invest in a mutual fund with a NAV = $45. You choose a fund with a 5.5% front load, a 1% managment fee and a .25% 12b-1 fee. Assume that the managment and 12b-1 fees are charged on year end assets. The gross annual return on the fund's shares was 12%. What was your net annual rate to the nearest basis point?

A) 3.26%

B) 6.50%

C) 6.25%

D) 4.52%

E) 4.02%