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At the end of the business day, the Rosewater Canadian Equity Fund collected the following information: Total assets at market value $60,225,374 Long-term liabilities $12,138,336 Units outstanding 7,659,890 What is the net asset value per unit (NAVPU) of the Rosewater Canadian Equity Fund?

User Saturn K
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Final answer:

The net asset value per unit (NAVPU) of the Rosewater Canadian Equity Fund is calculated by subtracting the long-term liabilities from the total assets to find the net assets and then dividing by the units outstanding. The NAVPU is $6.28 per unit.

Step-by-step explanation:

To calculate the net asset value per unit (NAVPU) for the Rosewater Canadian Equity Fund, you first need to determine the fund's net assets by subtracting its long-term liabilities from its total assets. Once you have the net assets, you divide that number by the units outstanding to get the NAVPU.

The calculation uses the following information: Total assets at market value are $60,225,374, and long-term liabilities are $12,138,336. With 7,659,890 units outstanding, the formula for NAVPU becomes:

Net Assets = Total Assets - Long-term Liabilities
Net Assets = $60,225,374 - $12,138,336
Net Assets = $48,087,038

To find the NAVPU:

NAVPU = Net Assets / Units Outstanding
NAVPU = $48,087,038 / 7,659,890
NAVPU = $6.28 per unit (rounded to two decimal places)

User Macserv
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