The Anderson Balanced Mutual Fund Charges a Sales Load of 4.85

question 35

Multiple Choice

The Anderson Balanced mutual fund charges a sales load of 4.85%. If you invest $15,000, how much must you pay in commissions?

• A) $4.85
• B) $485.00
• C) $600.00
• D) $727.50
• E) $750.00

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Definitions:

Probability

A measure of the likelihood of occurrence of an event, expressed as a number between 0 and 1, where 0 indicates impossibility and 1 indicates certainty.

Z Statistic

A statistic that tells us how many standard deviations an element is from the mean. It is used in hypothesis testing.

Probability

A measure quantifying the likelihood that events will occur, ranging from 0 (impossibility) to 1 (certainty).

α

Typically used to denote the level of significance in hypothesis testing, representing the probability of rejecting a true null hypothesis or the threshold of rareness.