There are multiple parts to this question. The Ochlers Mutual Fund has a par value of $$\mathrm{.}05$ per share and a current NAV per share of $$12\mathrm{.}50.$

Please answer the following:

Record the joumal entry if Ochlers receives a subseription for $10,000$ shares. Assume

$$ash

was received by the Mutual Fund.

Record the journal entry if sharcholders redeem $5000$ shares out of this fund.

What effect do the two entries above have on the NAV of the Oehlers Mutual Fund? Explain.