Question

Eastern states mutual fund sold $82.5 million of assets during the year and purchased $93 million of new assets. the average daily assets of the fund were $330 million. what is the fund's turnover rate for the year? .25

Answer 1

Mutual fund sold $82.5 million
Mutual fund purchased $93 million
Average daily assets of the fund $330 million
The turnover rate for the year = mutual fund sold / average daily assets
Turnover = $82.5 million / $330 million = 1 / 4 = 0.25