A mutual fund's net asset value increases by $5 per share. An investor who owns 450 shares of this fund sells them all for a profit of $2,205. What can you conclude about the fund?

Question

Mathematics

Tippy

31 March, 11:13

A mutual fund's net asset value increases by $5 per share. An investor who owns 450 shares of this fund sells them all for a profit of $2,205. What can you conclude about the fund?

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Laci Erickson · Answer 1

The total amount of profit that he was able to gain out of his 450 shares is 2,205. In the problem, it states that for ever share he earns $5 dollars each. in order to derive the total amount of profit he got from his shares, we multiply 450 shares and $5.

so, 450*5 is equals to $2,205.