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Suppose today a mutual fund contains 2 , 0 0 0 shares of JPMorgan Chase, currently trading at $ 7 9 . 7 5 ,
Suppose today a mutual fund contains shares of JPMorgan Chase, currently trading at $ shares of Walmart,
currently trading at $ and shares of Pfizer, currently trading at $ The mutual fund has no liabilities and shares
outstanding held by investors.
a What is the NAV of the fund?
b Calculate the change in the NAV of the fund if tomorrow JPMorgan's shares increase to $ Walmart's shares increase to $ and
Pfizer's shares decrease to $
c Suppose that today additional investors buy one share each of the mutual fund at the NAV of $ This means that the
fund manager has $ in additional funds to invest. The fund manager decides to use these additional funds to buy additional
shares in JPMorgan Chase. Calculate tomorrow's NAV given the same rise or fall in share values as assumed in part b
Note: For all requirements, do not round intermediate calculations. Round your answers to decimal places. eg
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