Question
A year ago, an investor bought 300 shares of a mutual fund at $7.62 per share. This year, the fund has paid dividends of $0.71
A year ago, an investor bought
300
shares of a mutual fund at
$7.62
per share. This year, the fund has paid dividends of
$0.71
per share and had a capital gains distribution of
$0.46
per share.a. Find the investor's holding period return, given that this no-load fund now has a net asset value of
$8.28.
b. Find the holding period return, assuming all the dividends and capital gains distributions are reinvested into additional shares of the fund at an average price of
$7.92
per share.
Question content area bottom
Part 1
a. Given that this no-load fund now has a net asset value of
$8.28,
the investor's holding period return is
enter your response here%.
(Round to two decimal places.)
Part 2
b. Assuming all the dividends and capital gains distributions are reinvested into additional shares of the fund at an average price of
$7.92
per share, the holding period return is
enter your response here%.
(Round to two decimal places.)
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