1. Last year at this? time, a mutual fund had an NAV of? $26.40 per share. Over the past year the fund paid dividends of? $1.40 per share and had a capital gains distribution of? $1.20 per share. What is the holding period return assuming that the current NAV is? $28.84?

A. ?23.6%

B. ?17.5%

C. ?14.5%

D. ?19.1%

2. The prices of puts and calls on the same stock move independently of one another.

True

False

3. Everything else equal, an asset's value is directly related to:

A. the cost of raising additional capital.

B. the rate of return investors require to invest in that asset.

C. the risk associated with the investment in that asset.

D. the cash flow the asset is expected to generate.