Question

Which of the following describes how to calculate the total investment in a load fund?

a.
Multiply the number of shares by the net asset value.
b.
Multiply the number of shares by the offer price.
c.
Subtract the net asset value from the offer price.
d.
Subtract the proceeds from the investments.

Answer 1

Answer is B.

Explanation:

Multiply the number of shares by the offer price.

Answer 2

To calculate the total investment in a load fund, B.) MULTIPLY THE NUMBER OF SHARES BY THE OFFER PRICE.

Load fund is a mutual fund. The term "load" is used to refer to a fund with commission.

The commission is the difference of the net asset value and the offer price of the fund.