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Understanding the Costs Involved in Mutual Fund Investments The following table presents information on four different open-end mutual funds. Use the information in the table

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Understanding the Costs Involved in Mutual Fund Investments The following table presents information on four different open-end mutual funds. Use the information in the table to answer the questions that follow. FUND NAV NET CHG YTD % RET MinTp 13.32 -0.04 2.8 TMRE 29.77 0.06 5.7 MRGG 37.81 0.20 8.2 MajTrk 38.21 0.29 9.3 MRGG, TRE, Min T, Maj Trk The mutual fund charges a 12b-1 fee. True or False: You can generally expect funds that charge 12b-1 fees to outperform funds that do not charge these fees. O True O False Suppose MajTrk has a front-end load fee of 8%. If you purchase 100 shares of this fund at the NAV, you will pay a commission of $ If, in one month, you sell the shares, you pay a redemption fee at that time. will not/will also If you are interested only in funds without any fee, vodo not need/will nee to use additional online resources to find no-load funds, because using only the quotations as listed in the table, it impossible/very eas to determine the amount of any front-end load fee that the fund may charge

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