FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Ted Paulson needed money to pay for unexpected medical bills. To obtain $7,100, he decided to sell some of his shares in the
Ridgemoor Capital Appreciation Fund. When he called the investment company, he was told that the following fees would be charged
to sell his B shares:
Ridgemoor Capital Appreciation Fund Fees
5 percent withdrawal fee
4 percent withdrawal fee
3 percent withdrawal fee
2 percent withdrawal feel
1 percent withdrawal fee
First year
Second year
Third year
Fourth year
Fifth year
If he has owned the fund for 29 months and withdraws $7,100 to pay medical bills, what is the amount of the contingent deferred sales
load?
Amount of the contingent deferred sales load
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Transcribed Image Text:Ted Paulson needed money to pay for unexpected medical bills. To obtain $7,100, he decided to sell some of his shares in the Ridgemoor Capital Appreciation Fund. When he called the investment company, he was told that the following fees would be charged to sell his B shares: Ridgemoor Capital Appreciation Fund Fees 5 percent withdrawal fee 4 percent withdrawal fee 3 percent withdrawal fee 2 percent withdrawal feel 1 percent withdrawal fee First year Second year Third year Fourth year Fifth year If he has owned the fund for 29 months and withdraws $7,100 to pay medical bills, what is the amount of the contingent deferred sales load? Amount of the contingent deferred sales load
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