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QUESTION 4 If you invest 8,924 at t= 0 in a mutual fund, then how much do you have at t = 40 if the
QUESTION 4 If you invest 8,924 at t= 0 in a mutual fund, then how much do you have at t = 40 if the annual gross return is 0.084? For this exercise you can assume that the expense ratio is 0.011 per year. Note: Blackboard does not allow percentages. The returns, fees and loads are in decimal form (0.01 = 1 %) QUESTION 5 If you invest 9,546 at t= 0 in a mutual fund, then how much do you have at t = 40 if the annual gross return is 0.08? For this exercise you can assume that the expense ratio is 0.011 per year and the front-end load is 0.012 and the back-end load is 0.01. Note: Blackboard does not allow percentages. The returns, fees and loads are in decimal form (0.01 = 1 %) QUESTION 6 You invest 10,749 at t = 0 in an active mutual fund that is benchmarked against the S&P 500. If you sell your shares in the mutual fund at t = 40, then how much money will you have? You can assume that the annual gross return is 0.082 and the expense ratio is 0.009 and the long-term capital gains tax rate is 15 %. (There are no front- or back-end loads for this question). Note: Blackboard does not allow percentages. The returns, fees and loads are in decimal form (0.01 = 1 %) QUESTION 4 If you invest 8,924 at t= 0 in a mutual fund, then how much do you have at t = 40 if the annual gross return is 0.084? For this exercise you can assume that the expense ratio is 0.011 per year. Note: Blackboard does not allow percentages. The returns, fees and loads are in decimal form (0.01 = 1 %) QUESTION 5 If you invest 9,546 at t= 0 in a mutual fund, then how much do you have at t = 40 if the annual gross return is 0.08? For this exercise you can assume that the expense ratio is 0.011 per year and the front-end load is 0.012 and the back-end load is 0.01. Note: Blackboard does not allow percentages. The returns, fees and loads are in decimal form (0.01 = 1 %) QUESTION 6 You invest 10,749 at t = 0 in an active mutual fund that is benchmarked against the S&P 500. If you sell your shares in the mutual fund at t = 40, then how much money will you have? You can assume that the annual gross return is 0.082 and the expense ratio is 0.009 and the long-term capital gains tax rate is 15 %. (There are no front- or back-end loads for this question). Note: Blackboard does not allow percentages. The returns, fees and loads are in decimal form (0.01 = 1 %)
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