Allen Fund Had NAV Values of $9,$10,and $12 at the Beginning,middle,and

question 70

Multiple Choice

Allen Fund had NAV values of $9,$10,and $12 at the beginning,middle,and end of last year,respectively.It made a $1.00 per share distribution at mid-year.The average annual total return of the fund for the year is

• A)33.33%.
• B)44.44%.
• C)46.67%.
• D)55.55%.

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Definitions:

Random Variates

Randomly generated values that follow a specified distribution.

Assumption Cells

Cells in a spreadsheet model where key input values are entered, which are based on assumptions that affect the model's outcomes.

Random Numbers

Numbers generated in a sequence that lacks any predictable patterns, used in various simulations and cryptographic applications.

Monte Carlo Simulation

Monte Carlo Simulation is a computational technique that uses random sampling to estimate complex mathematical or physical systems' behaviors.