The Fee Charged by a Typical Hedge Fund Are Sometimes

question 58

Multiple Choice

The fee charged by a typical hedge fund are sometimes called

• A) 12b-1 fees.
• B) hedging premiums.
• C) loads.
• D) carried interest.

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Definitions:

Profit-Maximizing Entrepreneur

An individual or business that adjusts the combination of production inputs and outputs to achieve the highest possible profit.

Investment Project

A planned undertaking aimed at achieving specific financial returns through the allocation of resources to productive activities.

Interest Rate

The proportion of a total amount of money that is levied for borrowing it, usually described as a yearly rate percentage.

Interest Rate

The percentage of the principal charged by the lender for the use of its money, or earned by an investor on an investment.