A 12b-1 Fee Is a Fee Charged by a Mutual

question 75

Multiple Choice

A 12b-1 fee is a fee charged by a mutual fund:

• A)at the time shares are issued.
• B)if shares are sold within a stated period of time.
• C)to cover trading costs.
• D)to pay the fund's managers.
• E)to cover marketing costs.

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Definitions:

Green Enterprises

Businesses that operate with a primary focus on sustainability, aiming to minimize environmental impact and embrace eco-friendly practices across their operations.

Safety Stocks

Additional quantities of inventory maintained to guard against uncertainties in demand or supply, ensuring that out-of-stock situations are minimized.

Economic Order Quantity

A formula designed to determine the optimal order size to minimize the costs of holding and ordering inventory.

Net Present Value

The calculation of the present value of an investment's expected cash inflows minus the costs.