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Assume a simplified structure where the manager is entitled to 40% of the returns to the extent they exceed a preferred return of 8%. Further

Assume a simplified structure where the manager is entitled to 40% of the returns to the extent they exceed a preferred return of 8%. Further assume all the returns happen at once and over one year. What is the managers share of profit if the rate of return for the investment as a whole is 12%? If the rate of return is 20%

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