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transaction cost of $ 2 0 . 0 0 . a . Calculate which is the lower cost alternative to purchase. b . Calculate the

transaction cost of $20.00.
a. Calculate which is the lower cost alternative to purchase.
b. Calculate the net proceeds associated with each option if you hold the mutual fund for 6 months and sell after a gain of 11 percent per 6 months.
c. Calculate the net proceeds associated with each option if you hold the mutual fund for 1 year and achieve a gain of 9 percent per year.
d. Calculate the net proceeds associated with each option if you hold the mutual fund for 1 year and experience a loss of 7 percent per year.
a. Calculate which is the lower cost alternative to purchase. (Select the best answer below.)
B. The cost is $0 to purchase the ETF versus $20 to purchase the no-load fund. Regardless of the initial investment amount, the lower cost alternative to purchase is the ETF.
b. If you hold the mutual fund for 6 months and sell after a 6-month gain of 11%, the net proceeds associated with the no-load fund are $.(Round to the nearest cent.)
If you hold the mutual fund for 6 months and sell after a 6-month gain of 11%, the net proceeds associated with the ETF are 9.(Round to the nearest cent.)
c. If you hold the mutual fund for 1 year and sell after a 1-year gain of 9%, the net proceeds associated with the no-load fund are $.(Round to the nearest cent.)
If you hold the mutual fund for 1 year and sell after a 1-year gain of 9%, the net proceeds associated with the ETF are $ (Round to the nearest cent.)
d. If you hold the mutual fund for 1 year and sell after a 1-year loss of 7%, the net proceeds associated with the no-load fund are $.(Round to the nearest cent.)
If you hold the mutual fund for 1 year and sell after a 1-year loss of 7%, the net proceeds associated with the ETF are $,(Round to the nearest cent.)
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