Consider a Mutual Fund with 100 Shareholders Who Each Invested

question 79

Multiple Choice

Consider a mutual fund with 100 shareholders who each invested $10 for a total of $1,000.If the assets of the mutual fund are worth $900, what is the net asset value for each one of the mutual fund shares?

• A)$0.9.
• B)$9.
• C)$90.
• D)$10.
• E)$0.10.

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Definitions:

Tort Of Assault

A civil wrong where one person intentionally puts another in fear of imminent harmful or offensive contact.

Relief-From-Oppression Provisions

Legal measures available to protect minority shareholders in a company from unfair treatment or oppressive actions by majority shareholders.

Pre-Emptive Right

The right of a shareholder to buy new shares in the same proportion as her current ownership of shares.

Closely Held Corporation

A business entity owned by a small number of shareholders, often involving family members.