5-55 a Mutual Fund That Charges Investors a Fee Similar

question 99

Multiple Choice

5-55 A mutual fund that charges investors a fee similar to a commission charge is called a

• A)12b-1 fee.
• B)no-load fund.
• C)load fund.
• D)long-term fund.
• E)short-term fund.

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Definitions:

Commissions

Fees paid to salespersons or agents for facilitating sales, based on the value or volume of those sales.

Store Rent

The cost associated with leasing or renting a physical space for retail operations, recorded as an expense.

Operating Income

Operating income is the profit realized from a business's core operations, excluding costs and expenses related to financing and investment.

Liabilities Decreased

A reduction in the obligations or debts that a company owes to others, which can improve its financial position.