Intro

A mutual fund owns the following stocks: 13,000 shares of General Electric, 23,000 shares of IBM, and 74,000 shares of Exxon Mobile. The fund has to pay back-wages of $590,000, and has issued 2 million shares to mutual fund shareholders. The fund will receive a dividend of $10 per share from its holdings of General Electric stock in two weeks, which the fund manager will reinvest by buying more shares of GE. Ignore tax effects.

The stock prices for GE, IBM, and Exxon are as follows, respectively:

Time	GE	IBM	Exxon
10am	647	121	196
End of the day	650	116	203
14 days later	656	114	194

Attempt 1/10 for 10 pts.

Part 1

What is the value of the fund's holdings of Exxon at the end of the day?

Submit

Attempt 1/10 for 10 pts.

Part 2

What is the total NAV (not per share) at the end of the day?

Submit

Attempt 1/10 for 10 pts.

Part 3

What is the NAV per share at the end of the day?

Submit

Attempt 1/10 for 10 pts.

Part 4

If you place an order to buy 100 shares in the fund at 10am, how much will you have to pay?

Submit