If a Mutual Fund's NAV Is $50 and Its Expense

question 129

Multiple Choice

If a mutual fund's NAV is $50 and its expense ratio is 2 percent, what are the total expenses per share?

• A)$2
• B)$10
• C)$1
• D)$5

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Definitions:

Closely Held Corporation

A type of corporation that has a limited number of shareholders and does not offer its shares for sale to the general public, often family-owned or controlled by a small group of investors.

Determination

The process of making a firm decision or settling a matter with conclusiveness.

Business Organization

The structure and legal form under which a business operates, such as a corporation, partnership, or sole proprietorship.

Incorporation

The act of officially recognizing a business entity as distinct from its proprietors, offering limited liability and additional advantages.