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Stock P 0 P 1 # of shares A 82.25 78.65 100,000 B 1215.3 1225.4 150,000 C 375.45 402.55 80,000 D 22.15 19.22 110,000 Suppose

Stock

P0 P1 # of shares
A 82.25 78.65 100,000
B 1215.3 1225.4 150,000
C 375.45 402.55 80,000
D 22.15 19.22 110,000

Suppose securities A, B, C, D are held in a mutual fund and the number of shares outstanding for the mutual fund stays constant between the two periods at 20 million. Today, the mutual fund has not incurred any liabilities. At the end of period 1, the mutual fund issues a dividend of $.50 per share. What is the rate of return for this mutual fund over the 1-year period?

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