On January 1, the shares and prices for a mutual fund at 4:00 PM are as follows:

Stock 3 announces record earnings, and the price of stock 3 jumps to $32.44 in after-market trading. If the fund (illegally) allows investors to buy at the current NAV, how many shares will $25,000 buy? If the fund waits until the price adjusts, how many shares can be purchased? What is the gain to such illegal trades? Assume 5,000 shares areoutstanding.

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Stock Shares owned 1,000 5,000 Price $1.92 $51.18 $29.08 $87.19 $4.51 $5,353.40 9,200 3,000 n.a. Cash