An open end mutual fund has three stocks in its portfolio. The fund has 50,000 shares in stock A, 60,000 shares in stock B, and 70,000 shares in stock C. Stock A is currently traded at $80 per share, stock B at $90, and stock C at $100. The fund has borrowed $1,000,000 and its accrued management fee with the portfolio manager is $100,000. The fund has 3 million shares outstanding. The fund charges a front-end load of 5%. 

a. What is the net asset value of the fund? (Keep your answer to only two decimals)

b. What is the offering price of the fund?

Answer rating: 100% (QA)

a To calculate the net asset value NAV of the fund we need to add up the market value of ... View the full answer