You have $38,000 to invest. If you invest in an ETF that follows an index you will pay $15.10 in commission and 0.5% in yearly charges. If the index were to produce a return of 8.7%, how much will it be the overall cost of holding the ETF (relative to investing directly in the index) over the course of 17 years? Include the transaction cost. Answer: 0x (11,887.19)
You have $38,000 to invest. If you invest in an ETF that follows an index you will pay $15.10 in commission and 0.5% in yearly charges. If the index were to produce a return of 8.7%, how much will it be the overall cost of holding the ETF (relative to investing directly in the index) over the course of 17 years? Include the transaction cost. Answer: 0x (11,887.19)
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter11: Determining The Cost Of Capital
Section: Chapter Questions
Problem 12P: Calculation of gL and EPS Spencer Suppliess stock is currently selling for 60 a share. The firm is...
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