4-1Copyright©2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMcGraw-HillEducation.Chapter04TestBank-StaticStudent:___________________________________________________________________________MultipleChoiceQuestions1.Whichoneofthefollowingstatementsregardingopen-endmutualfundsisfalse?A.Thefundsredeemsharesatnetassetvalue.B.Thefundsofferinvestorsprofessionalmanagement.C.Thefundsofferinvestorsaguaranteedrateofreturn.D.Thefundsredeemsharesatnetassetvalueandofferinvestorsprofessionalmanagement.2.Whichoneofthefollowingstatementsregardingclosed-endmutualfundsisfalse?A.ThefundsalwaystradeatadiscountfromNAV.B.Thefundsredeemsharesattheirnetassetvalue.C.Thefundsofferinvestorsprofessionalmanagement.D.ThefundsalwaystradeatadiscountfromNAVandredeemsharesattheirnetassetvalue.E.Noneoftheoptionsarecorrect.3.Whichofthefollowingfunctionsdoinvestmentcompaniesperformfortheirinvestors?A.RecordkeepingandadministrationB.DiversificationanddivisibilityC.ProfessionalmanagementD.LowertransactioncostsE.Alloftheoptions.4.MultipleMutualFundshadyear-endassetsof$457,000,000andliabilitiesof$17,000,000.Therewere24,300,000sharesinthefundatyearend.WhatwasMultipleMutual'snetassetvalue?A.$18.11B.$18.81C.$69.96D.$7.00E.$181.075.GrowthFundhadyear-endassetsof$862,000,000andliabilitiesof$12,000,000.Therewere32,675,254sharesinthefundatyearend.WhatwasGrowthFund'snetassetvalue?A.$28.17B.$25.24C.$19.62D.$26.01E.$21.566.DiversifiedPortfolioshadyear-endassetsof$279,000,000andliabilitiesof$43,000,000.IfDiversified'sNAVwas$42.13,howmanysharesmusthavebeenheldinthefund?A.43,000,000B.6,488,372C.5,601,709D.1,182,2034-2Copyright©2017McGraw-HillEducation.Allrightsreserved.NoreproductionordistributionwithoutthepriorwrittenconsentofMcGraw-HillEducation.7.PinnacleFundhadyear-endassetsof$825,000,000andliabilitiesof$25,000,000.IfPinnacle'sNAVwas$32.18,howmanysharesmusthavebeenheldinthefund?A.21,619,346.92B.22,930,546.28C.24,860,161.59D.25,693,645.258.Mostactively-managed...
