You are considering an investment in a mutual fund with a 6% load and expense ratio of 0.1%. you can invest instead in a bank cd paying 3% interest.

a. if you plan to invest for 4 years, what annual rate of return must the fund portfolio earn for you to be better off in the fund than in the cd? assume annual compounding of returns
annual rate of %
b. if you plan to invest for six years, what annual rate of return must the fund portfolio earn for you to be better off in the fund than in the cd? assume annual compounding of returns.
annual rate of return %
c. now suppose that instead of a front-end load the fund assesses a 12b-1 fee of 1.30% per year. what annual rate of return must the fund portfolio earn for you to be better off in the fund than in the cd?
annual rate of return %.

Which statement best explains the relationship between points a and b? a. consumption reaches its highest point, and then supply begins to fall. b. inflation reaches its highest point, and then the economy begins to expand. c. production reaches its highest point, and then the economy begins to contract. d. unemployment reaches its highest point, and then inflation begins to decrease.

Lipman auto parts, a family-owned auto parts store, began january with $10,300.00 in cash. management forecasts that collections from credit customers will be $11,400.00 in january and $14,800.00 in february. the store is scheduled to receive $5,000.00 in cash on a business note receivable in january. projected cash payments include inventory purchases ($13,000.00 in january and $13,600.00 in february) and operating expenses ($2,700.00 each month). lipman auto parts' bank requires a $10,000.00 minimum balance in the store's checking account. at the end of any month when the account balance dips below $10,000.00, the bank automatically extends credit to the store in multiples of $1,000.00. lipman auto parts borrows as little as possible and pays back loans in quarterly installments of $2,000.00, plus 4 percent interest on the entire unpaid principal. the first payment occurs three months after the loan.

List three factors to consider when choosing a financial institution