Question

The Yamaha Aggressive Growth Fund has an expense ratio of 1.83 percent. If you invest $55,000 in this fund, what is the dollar amount of fees that you would pay this year? (Round your answer to 2 decimal places.)

Answer 1

1,006.5

Step-by-step explanation:

The Yahama aggressive growth fund has an expense ratio of 1.83%

$55,000 was invested into the fund

Therefore, the dollar amount of fees that would be paid this year can be calculated as follows

Dollar amount of fees= expense ratio×total amount invested

= 1.83/100 × 55,000

= 0.0183 × 55,000

= 1,006.5

Hence the amount of dollars fees that will be paid this year is 1,006.5