The Value of a Load Mutual Fund's Assets Less Its

question 85

Multiple Choice

The value of a load mutual fund's assets less its liabilities, divided by the number of shares outstanding is referred to as the fund's:

• A)net asset value.
• B)offering price.
• C)open-end value.
• D)closed-end value.
• E)prime value.

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Definitions:

Diseconomies

Circumstances where increasing the scale of production leads to higher per-unit costs, often due to inefficiencies gained at larger scales.

Average Total Costs

The average cost per unit is calculated by dividing the entire production cost by the quantity of units produced.

Total Fixed Costs

The sum of all costs that remain constant in total amount regardless of changes in the level of production or output.

Total Cost

The combined financial outlay for producing goods or services, covering both unchanging and varying expenses.