Triple Seven Capital is a hedge fund that was founded by three ambitious and highly skilled finance professionals who had a passion for investing. The name Triple Seven was chosen as a representation of the lucky number in gambling, a nod to the hedge fund's desire to take calculated risks and win big.

In the beginning of 2023, Triple Seven had an initial investment capital of $5 billion and follows a 2/20 fee structure, where it charges 2% management fee based on year-end AUM and a 20% incentive (or performance) fee. In 2023, Triple Seven had a 12% return. Assume management fees are calculated using end-of-period valuation.

What are the total fees earned by Triple Seven assuming that the incentive fee is calculated from the return net of the management fee? What is an investor's net return given this fee structure?

Assume the fee structure specifies a hurdle rate of 7% and the incentive fee is based on returns in excess of the hurdle rate. What are the total fees earned by Triple Seven assuming the performance is calculated net of the management fee? What is an investor's net return given this fee structure?