A large cap equity mutual fund has the following assets: $10M in ABC shares, $20M in...

 

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A large cap equity mutual fund has the following assets: $10M in ABC shares, $20M in XYZ shares, $30M in MNO shares and $60M in PQR shares. The fund has 20 m. shares outstanding. Assets $10M ABC $20M XYZ $30M MNO $60M PQR Total Assets = $120M 12. What is the NAV of the fund? Liabilities + Equity Equity = 50M Total L + E= $120M 13. If the PQR shares drop from today's price of $120 to $100 a share, what is the new NAV for the fund? 14. What's the benefit of investing in a Roth IRA? A large cap equity mutual fund has the following assets: $10M in ABC shares, $20M in XYZ shares, $30M in MNO shares and $60M in PQR shares. The fund has 20 m. shares outstanding. Assets $10M ABC $20M XYZ $30M MNO $60M PQR Total Assets = $120M 12. What is the NAV of the fund? Liabilities + Equity Equity = 50M Total L + E= $120M 13. If the PQR shares drop from today's price of $120 to $100 a share, what is the new NAV for the fund? 14. What's the benefit of investing in a Roth IRA?

Answer rating: 100% (QA)

SOLUTION The NAV Net Asset Value of the fund is calculated as the total value of the assets minus an... View the full answer