Assume that one year ago, you bought 270 shares of a mutual fund for $20 per sha
ID: 2777380 • Letter: A
Question
Assume that one year ago, you bought 270 shares of a mutual fund for $20 per share, you received an income distribution of $0.23 cents per share and a capital gain distribution of $0.38 cents per share during the past 12 months. Also assume the market value of the fund is now $25 a share. Calculate the total dollar return for this investment if you were to sell it now.
(Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.)
Please round two decimal places!!!
Assume that one year ago, you bought 270 shares of a mutual fund for $20 per share, you received an income distribution of $0.23 cents per share and a capital gain distribution of $0.38 cents per share during the past 12 months. Also assume the market value of the fund is now $25 a share. Calculate the total dollar return for this investment if you were to sell it now.
(Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.)
Please round two decimal places!!!
Explanation / Answer
Return on mutual fund:
= [($25-$20)+$0.23+$0.38]×270
= $1,514.7