A mutual fund had average daily assets of $4.0 billion in 2016. The fund sold $1.5 billion worth of stock and purchased $1.6 billion worth of stock during the year. The fund's turnover ratio is A. 45%. B. 15%. C. 22%. D. 37.5%. E. 20%.

A mutual fund had average daily assets of $4.0 billion in 2016. The fund sold $1.5 billion worth of stock and purchased $1.6 billion worth of stock during the year. The fund's turnover ratio is A. 45%. B. 15%. C. 22%. D. 37.5%. E. 20%.

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter3: Data Visualization

Section: Chapter Questions

Problem 6P: The file MutualFunds contains a data set with information for 45 mutual funds that are part of the...

See similar textbooks

Related questions

Q: An investor buys shares in a mutual fund for $20. At the end of the year the fund distributes a…

A: Introduction Mutual Funds: A mutual fund is a type of financial vehicle that invests in securities…

Q: Calculate the premium or discount percentage on the fund, if the fund has total assets of $830…

A: The share is said to be trading at premium, if the face value of the share is less than the market…

Q: In 2015, the mean return of all common stocks on the Philippine Stock Exchange was 3.5%. The…

A: A sampling distribution is a record of the means of all possible samples of equal size taken from…

Q: Consider a mutual fund that manages a portfolio of securities worth Php240 million. Suppose the fund…

A: Net Assets value per share = Value of assets - liabilities / Shares outstanding

Q: wildhorse funds has 11.2 millions shares outstanding the funds portfolio is now valued at 322…

A: Net asset value is the net realisable value of the fund. Total NAV = Value of investments - total…

Q: A mutual fund has total assets of $45,000,000 and total liabilities of $4,000,000. There are…

A: Solution:- Net Asset Value (NAV) of mutual fund means per unit net value of each unit. NAV = (Total…

Q: A mutual fund has total assets of $40,000,000 and total liabilities of $3,000,000. There are…

A: Net asset value of the mutual fund = (Total assets - total liabilities) / no. of shares outstanding…

Q: Last year David McCullough of La Junta, CO, bought the XYZ mutual fund, which has total assets of…

A: net asset value = total asset-total liabilitiesshares outstanding

Q: A mutual fund has 1,774 shares of General Electric, currently trading at $22, and 1,581 shares of…

A: The NAV of mutual fund is calculated as assets divided by the number of units

Q: b. Healthy Foods Mutual Fund has total assets of $80,000,000 and total liabilities of 12,000,000,…

A: Answer and calculations are given below

Q: A mutual fund has total assets of $35,000,000 $5,000,000. There are 1,200,000 shares and total…

A: Total assets = $35,000,000 Total liabilities = $ 5,000,000 Number of shares = 1,200,00

Q: A mutual fund has assets of $50 million, liabilities of $150000 million and 1 million shares what is…

A: NAV FORMULA: NAV=asset - liabiltiesnumber of outstanding shares

Q: On July 1, 2008, Quality Mutual Funds had $450,000 cash in the bank, $215,000 invested in bonds that…

A: Given that: Quality Mutual Funds had $450,000 cash in the bank, $215,000 invested in bonds that…

Q: Which of the following hypothetical phenomena would be either consistent with or a violation of the…

A: EMH states that prices reflect all available information.

Q: A mutual fund has total assets of $50,000,000 and total liabilities of $5,000,000. There are…

A: Here, Total Assets is $50,000,000 Total Liabilities is $5,000,000 Shares Outstanding is 1,900,000…

Q: Which of the following hypothetical phenomena would be either consistent with or a violation of the…

A: a) Consistent The half of the managers might outperform the market depends on the clean luck. b)…

Q: Find the net asset value of the mutual fund.

A: Net assets value (NAV) is defined as the per-share value of total assets less liabilities. The…

Q: You are given the the information below on a mutual fund. What is the arithmetic average? Year 1…

A: A compound average return on stock each year is known as the 1-year return of that stock.

Q: In a year in which corporate bonds offered an average return of 9%, treasury bonds offered an…

A: Market risk premium is the difference between the expected return of the stock and the risk free…

Q: If a mutual fund's net asset value is $23.70 and the fund sells its shares for $25.30, what is the…

A: NAV = $23.70 Selling Value =$25.30

Q: Cognana fund has 9.8 million shares outstanding. The fund’s portfolio is now valued at $500 million,…

A: Net asset value of a fund is popularly called as NAV. It is the per unit market value of all the…

Q: ABC CAPITAL is a hedge fund with $300 million of initial investment capital. They charge a 2 percent…

A: Hi there, thanks for posting the questions. But as per our Q&A guidelines, we must answer the…

Q: A mutual fund has total assets of 17 million and total liabilities of 3 million. there are 2 million…

A: Here, Total assets is $17,000,000 Total Liabilities is $3,000,000 Shares Outstanding is 2,000,000…

Q: You have a mutual fund with $100 million worth of total assets which is calculated at the end of the…

A: Net Assets Value: It is generally computed to identify the potential investment opportunities within…

Q: The aqua liquid money market mutual fund has nav $1 per share. During the year asset held by the…

A: Mutual Fund NAV is $1 per share Invested amount is $30,000 (start of the year) Fund appreciation…

Q: Suppose a man invested $250 at the end of 1900 in each of three funds that tracked the averages of…

A: The return on each fund will be calculated using the FV formula assuming the returns are compounded.…

Q: If a mutual fund's net asset value is $24.00 and the fund sells its shares for $25.20, what is the…

A: load fee as a percentage of net asset value =( (sale value of share - net asset value)/ net asset…

Q: The following information applies to Old Blues Advisors, a hedge fund: $288 million in assets under…

A: Data Given:: AUM as of prior -year-end $288 million Current year…

Q: You pay $22,200 to the Laramie Fund, which has a NAV of $22 per share at the beginning of the year.…

A: Given, Investment = $22,200 NAV = $22 per share Front end load =4% Increase in value of securities…

Q: What is net asset value at the start and end of the year? What is the rate of return for an investor…

A: Net asset value at the starting = asset at beginning /outstanding shares = 200million/10million = 20…

Q: Investing: Inverse ETFS (Exchange Traded Funds) Inverse ETFS, sometimes referred to as "bear market"…

A: Given: YTD Loss MYY 6% SH 5% REW 7% Total Investment $12,000 Year-till-date…

Q: 24. LS Portfolio Fund invests in the stock markets. It diversifies its funds across many industries.…

A: Total Fund = 90,000,000 Number of shares outstanding = 5,000,000 Increase in value = 15% Dividend…

Q: An investor buys shares in a mutual fund for $22. At the end of the year the fund distributes a…

A: Percentage return on the investment is dividend plus capital gain divided by purchased price.

Q: what is the load fee as a percentage of the net asset value? Round your answer to two decimal…

A: Mutual Funds Corporation charges load fees when investors buy shares from the funds. Load fee is the…

Q: A mutual fund was held by an investor for 575 days and earned a cumulative return of 23.74%. What is…

A: In this question we need to compute the annualized return from following details : Investment period…

Q: A mutual fund has total assets of $30,000,000 and total liabilities of $100,000. There are 4,500,000…

A: Information Provided: Total assets = $30,000,000 Total liabilities = $100,000 Shares outstanding =…

Q: A mutual fund has total assets of 40,000,000 and total liabilities of 5,000,000. There are…

A: Net Asset Value of Mutual fund = (total assets - total liabilities) / shares outstanding

Q: An investor buys shares in a mutual fund for $22. At the end of the year the fund distributes a…

A: Buying price =22 Dividend =0.57 Later price of shares =24.04

Q: Harlequin Capital is a hedge fund with $250 million of initial capital. Harlequin charges a 2%…

A: Hurdle income = Hurdle rate * AUM beginning of year Base for incentive fees = Net income after…

Q: A mutual fund has 150 shares of Apple Computer trading at $170 per share, 100 shares of Tesla…

A: Under stock market, there are numerous types of investment one can have. These investments can be…

Q: The following table shows the average returns for some of the largest mutual funds commonly found in…

A: A concept that implies the future worth of the money is lower than its current value due to several…

Q: An investor buys shares in a mutual fund for $20. At the end of the year the fund distributes a…

A: Buying Price = $20 Dividend =$0.67 Closing NAV =$24.57

Q: The following are the data acquired from the financial statement of the firm: Cash on Hand…

A: Solution : Given Cash on Hand 1,500,000 Assets Held by the Fund 800,000 Outstanding…

Question

A mutual fund had average daily assets of $4.0 billion in 2016. The fund sold $1.5 billion worth of stock and purchased $1.6 billion worth of stock during the year. The fund's turnover ratio is

A. 45%.

B. 15%.

C. 22%.

D. 37.5%.

E. 20%.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

A mutual fund has total assets outstanding of $69 million. During the year, the fund bought and sold assets equal to $17.25 million. This fund's turnover rate was ________. 18.63% 28.5% 33.4% 25%
A mutual fund had NAV per share of $23.00 on January 1, 2016. On December 31 of the same year, the fund's NAV was $23.15. Income distributions were $0.63, and the fund had capital gain distributions of $1.26. Without considering taxes and transactions costs, what rate of return did an investor receive on the fund last year? A. 11.26% B. 8.87% C. 9.63% D. 8.26% E. 10.54%
A mutual fund sold $58 million of assets during the year and purchased $64 million in assets. If the average daily assets of the fund were $216 million, what was the fund turnover? (Enter your answer as a percent rounded to 2 decimal places.) Fund turnover %
A sector fund specializing in commercial bank stocks had average daily assets of $8.6 billion during the year. This fund sold $3.94 billion worth of stock during the year, and its turnover ratio was 0.45. How much stock did this mutual fund purchase during the year?
A mutual fund had an NAV of $26.4000 a year ago. During the year the fund paid dividends of $1.4000 and had a capital gains distribution of $1.2000 per share. Find the HPR with the current NAV at $28.8400? O 14.5% 17.5% 19.1% O 23.6%
A mutual fund sold $60 million of assets during the year and purchased $78 million in assets. If the average daily assets of the fund were $256 million, what was the fund turnover?
Consider the following trading and performance data for four different equity mutual funds: Fund W Fund x Fund y Fund z Assets under Management, $284.4 $662.1 $1,286.4 $5,564.6 Avg. for Past 12 months (mil) Security Sales, $44.6 $566.1 $1,455.6 $438.8 Past 12 months (mil) Expense Ratio 0.33% 0.75% 1.19% 0.24% Pretax Return, 3-year avg. 9.85% 10.65% 10.44% 9.73% Tax-adjusted Return, 3-year avg. 8.84% 8.84% 9.10% 9.04% Calculate the portfolio turnover ratio for each fund. Do not round intermediate calculations. Round your answers to two decimal places. Fund W: % Fund X: % Fund Y: % Fund Z: %
At the end of yesterday mutual fund XYZ had $7 million in cash, $350 million in securities and 61 million of shares outstanding. At the end of today the value of securities increased by 5% and the number of shares increased by 2%. Calculate fund’s NAV as of today. $5.55 $6.02 $6.19 $5.82
A mutual fund has total assets of $39,333,444 and liabilities of $6,753,789. If there are 11,521,000 sharesoutstanding, what is the net asset value of the fund? $3.02 $3.85 $2.83 $2.16
Consider the following trading and performance data for four different equity mutual funds: Fund W Fund X Fund Y Fund Z Assets Under Management, $ 289.40 $ 653.70 $ 1,298.40 $ 5,567.30 Avg. for Past 12 Months (mil) Security Sales, Past 12 Months (mil) $ 37.20 $ 569.30 $ 1,453.80 $ 437.10 Expense Ratio 0.33% 0.71% 1.13% 0.21% Pretax Return, 3-Year Avg. 9.98% 10.65% 10.12% 9.83% Tax-Adjusted Return, 3-Year Avg. 9.43% 8.87% 9.34% 9.54% a. Calculate the portfolio turnover ratio for each fund. b. Which two funds are most likely to be actively managed and which two are most likely passive funds? Explain. c. Calculate the tax cost ratio for each fund. d. Which funds were the most and least tax efficient in the operations? Why?
A mutual fund had year-end assets of $250,000,000 and liabilities of $4,000,000. There were 3,750,000 shares in the fund at year end. What was the mutual fund's net asset value? A. $63.24 B. $67.39 C. $65.60 D. $92.53 E. $17.46
The New Fund had average daily assets of $3.2 billion in the past year. The fund sold $500 million and purchased $500 million worth of stock during the year. a. What was its turnover ratio? b. If the fund had an expense ratio of 1.1%, what were the total fees paid to the fund's investment managers?