Four investments-annually in mutual fund

Assignment Help Financial Management
Reference no: EM131048621

Consider the following four investments.

a) You invest $3,000 annually in a mutual fund that earns 11 percent annually, and you reinvest all distributions. How much will you have in the account at the end of 15 years? Round your answer to the nearest dollar._____

b) You invest $3,000 annually in a mutual fund with a 4 percent load fee so that only $2,880 is actually invested in the fund. The fund earns 11 percent annually, and you reinvest all distributions. How much will you have in the account at the end of 15 years? (Assume that all distributions are not subject to the load fee.) Round your answer to the nearest dollar.____

c) You invest $3,000 annually in a no-load mutual fund that charges 12b-1 fees of 1 percent. The fund earns 11 percent annually before fees, and you reinvest all distributions. How much will you have in the account at the end of 15 years? Round your answer to the nearest dollar.______

d) You invest $3,000 annually in no-load mutual fund that has a 6 percent exit fee. The fund earns 11 percent annually before fees, and you reinvest all distributions. How much will you have in the account at the end of 15 years? Round your answer to the nearest dollar._____

Reference no: EM131048621

Operations by reduce outstanding stocks

Financial leverage impacts the performance of a firm by: In general, the capital structures used by U.S. firms: Holly's is currently an all equity firm that has 10,000 shares

Considering three-year expansion project-what is project npv

Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.82 million. The fixed asset will be depreciated straig

Company issued new securities in the same proportion

Pardon Me, Inc., recently issued new securities to finance a new TV show. The project cost $13.1 million, and the company paid $635,000 in flotation costs. If the company issu

Capital asset pricing model and wacc-beta coefficient

The “beta” coefficient for ABC is 1.25 based on the past information. The 30-day T-bill rate is 1.5%, The 5-year average market return of (say, S&P 500 index) in the same peri

What are his initial equity and loan balances

Mr. Kim has just opened a margin account with a local brokerage firm. The firm has a policy of 60% initial margin and 40% maintenance margin. Mr. Kim initially buys 100 shares

What was the cash flow to stockholders for the year

The 2013 balance sheet of Maria's Tennis Shop, Inc., showed $670,000 in the common stock account and $5.9 million in the additional paid-in surplus account. The 2014 balance s

Investment outlay-what is the initial investment outlay

Investment Outlay Talbot Industries is considering launching a new product. The new manufacturing equipment will cost $8 million, and production and sales will require an init

The endowment will be created by making a single payment

On completion of her introductory finance? course, Marla Lee was so pleased with the amount of useful and interesting knowledge she gained that she convinced her? parents, who

Reviews

Write a Review

 
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd