Net Asset Values at the End of Each Month for the No-Load

question 12

Essay

Net asset values at the end of each month for the no-load Currier & Ives fund are shown below. Holly Tannenbaum invests $500 in the fund each month through an automatic investment plan. Compute:
a. the number of shares purchased each month
b. the number of shares she owns at the end of December
c. the average price of the shares over the period
d. the average price per share paid by Holly
$\begin{array}{|l|l|l|}\hline \text { Month } & \begin{array}{l}\text { NAV end of } \\\text { month }\end{array} & \begin{array}{l}\text { Shares } \\\text { purchased }\end{array} \\\hline \text { July } & 12.85 & \\\hline \text { August } & 11.08 & \\\hline \text { September } & 9.99 & \\\hline \text { October } & 9.85 & \\\hline \text { November } & 13.55 & \\\hline \text { December } & 12.21 & \\\hline & & \\\hline\end{array}$

---

Definitions:

Par Value

The face value of a bond or stock, representing the amount that the issuer agrees to pay at maturity or the nominal value of a share.

Shares Outstanding

The total number of shares of a corporation that are currently owned by all its shareholders, including share blocks held by institutional investors and restricted shares owned by the company’s officers and insiders.

Tender Offer

An offer made directly to shareholders, proposing to purchase their shares at a specified price above market value.

Share Repurchase Program

A plan initiated by a company to buy back its own shares from the marketplace, often to reduce the supply of shares available and thus increase the value of remaining shares.