Reference no: EM13657967

Problem 1:You invested $10,000 in a mutual fund at the beginning of the year when the NAV was $34.87. At the end of the year the fund paid $.42 in short-term distributions and $.61 in the long-term distributions. If the NAV of the fund at the end of the year was $38.21, what was your return for the year?
Problem 2
A sector fund specializing in commercial bank stocks had average daily assets of $3.4 billion during the year. This fund sold $1.25 billion worth of stock during the year, and its turnover ratio was .42. How much stock did this mutual fund purchase during the year? What other costs are associated with the higher turnover?
Problem 3
In the previous problem, suppose the annual operating expense ratio for the mutual fund is .75 percent, and the management fee is .45 percent. How much money did the fund's management earn during the year? If the fund doesn't charge any 12b-1 fees, how much were miscellaneous and administrative expenses during the year?