A Mutual Fund Has 4,000 Shares of Stock a at a Price

question 82

Multiple Choice

A mutual fund has 4,000 shares of Stock A at a price of $45 and 6,000 shares of Stock B at a price of $35. If the fund has 20,000 shares outstanding, what is the NAV of the fund? Assume there are no liabilities for this fund.

• A) $18.75
• B) $19.50
• C) $17.10
• D) $21.10
• E) $20.65

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Definitions:

Minimal Group Effect

The finding that people show favoritism toward ingroup members even when group membership is randomly determined.

Social Groups

Collections of individuals who interact with one another and share similar interests, goals, or characteristics, forming the basis of society.

Realistic Conflict Theory

The idea that competition over scarce resources leads to intergroup hostility and conflict.

Frustration-Aggression

A theory proposing that frustration often leads to aggressive behavior, as aggression is a result of blocked, expected goals.