Question

An investor sold is his 121.5 units of MF when its NAV was 31.3. if exit load is 0.6%,he

received​

Answer 1

Step-by-step explanation:

Exit load is a cost that an investor needs to bear if he or she sells the mutual fund units before a predefined time frame. Typically, equity mutual fund schemes levy an exit load of 1% if the units are sold within one year of buying. Simply put, it is a mechanism to deter investors from premature withdrawals.

Answer 2

Answer:

He received an amount = 3780.13

Step-by-step explanation:

Given : No of units = 121.5

           NAV = 31.3

           Exit load = 0.6%

          Received amount = ?

Solution : Total amount of the units = no of units x NAV

                                                          = 121.5 x 31.3

                                                          = 3802.95

                Exit load amount = units amount x exit load

                                             = 3802.95 x 0.6%

                                             = 3802.95 x 0.6/100

                                             = 22.82

             Amount received = units amount - exit load amount

                                           = 3802.95 - 22.82

                                           = 3780.13