Your neighbor, Kitty Kardashian, of Philadelphia, Pennsylvania, bought $5,000 worth of mutual funds with a back-end load of 5 percent if she sells within the
Your neighbor, Kitty Kardashian, of Philadelphia, Pennsylvania, bought $5,000 worth of mutual funds with a back-end load of 5 percent if she sells within the first year. It decreases 1 percent a year afterward.
a) If Kitty sells during the third year, how much will be the back-end load?
b) Did Kitty make a good decision buying such a mutual fund?
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a Now that backend load is 5 for the first year and decreases by 1 every year and if ...
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Authors: Herbert B Mayo
9th Edition
324561385, 978-0324561388
