One Year Ago,Allison Purchased 350 Shares of a Mutual Fund

question 36

Multiple Choice

One year ago,Allison purchased 350 shares of a mutual fund which has a front-end load of 5.25 percent.The NAV at the time of purchase was $30.Today,the NAV is $33.The fund had total annual expenses of 1.65 percent.There were no fund distributions this past year.What is Allison's rate of return for the year?

• A) -1.10 percent
• B) -1.04 percent
• C) 4.23 percent
• D) 4.76 percent
• E) 5.00 percent

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Definitions:

Nucleophilic Substitution

A fundamental class of reactions where a nucleophile forms a bond with a carbon center of an electrophile, displacing a leaving group.

Major Organic Product

The primary product formed in greatest yield during an organic chemical reaction.

Electrophilicity

A chemical property of a compound to act as an electrophile, with a tendency to seek out electrons in a reaction due to a lack of electron density.

Hydroxyls

Functional groups consisting of an oxygen atom bonded to a hydrogen atom (-OH); characteristic of alcohols.