CHAPTER 4: MUTUAL FUNDS AND

12. 13. a. Start-of-year price: P0 = $12.00 × 1.02 = $12.24. End-of-year price: P1 = $12.10 × 0.93 = $11.25. Although NAV increased by $0.10, the price of the fund decreased by $0.99. Rate of return = b. An investor holding the same securities as the fund … ................
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