Net asset value of a mutual fund is the price one pays (excluding any transaction costs) to buy a share of a mutual fund.

Question

Quizplus · Accepted Answer

This is correct as NAV is calculated by dividing the total value of all the assets in a mutual fund portfolio by the number of outstanding shares. It represents the per-share value of a mutual fund and is used to determine the price at which investors buy and sell shares in the fund.

Net Asset Value of a Mutual Fund Is the Price