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shares

Question

You purchased 4,000 shares in the New Pacific Growth Fund on January 2, 2010, at an offering price of $56.10 per

share. The front-end load for this fund is 5 percent, and the back-end load for redemptions within one year is 3 percent. The underlying assets in this mutual fund appreciate (including reinvested dividends) by 5 percent during 2010, and you sell back your shares at the end of the year. If the operating expense ratio for the New Pacific Growth Fund is 1.75 percent, what is your total return from this investment? Assume that the annual expense ratio is netted out of the fund’s return.

 
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share

Question

Given the information below for Seger Corporation, compute the expected share price at the end of 2014 using price

ratio analysis. (Do not round intermediate calculations. Round your answers to 2 decimal places. Omit the “$” sign in your response.) 

  Year 2008 2009 2010 2011 2012 2013   

Price $ 87.90 $ 93.80 $ 92.50 $ 90.00 $ 111.50 $ 126.90    

EPS   4.64   5.35   6.15   6.85   7.90   8.90    

CFPS   8.17   8.96   9.25   11.02   12.34   13.46    

SPS   69.00   74.00   73.40   76.90   88.10   96.10   

      Using P/E ratio $     Using P/CFPS ratio $     Using P/S ratio $  

 
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fixed-rate

Question

A homeowner takes a 30-year fixed-rate mortgage for $155,000 at 7.75 percent. After ten years, the homeowner sells

the house and pays off the remaining principal. How much is the principal payment? (Do not round intermediate calculations. Round your answer to 2 decimal places. Omit the “$” sign in your response.

 
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tax

Question

Problem 18-15A taxable issue yields 5.2 percent, and a similar municipal issue yields 3.7 percent. What is the critical marginal tax rate? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places. Omit the “%” sign in your response.)Top Answer

 
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