The value of a mutual fund's portfolio minus the mutual fund's liabilities, divided by the number of shares outstanding is called the:

Question

Quizplus · Accepted Answer

The definition provided is of the net asset value (NAV). This is the most commonly used measure for assessing the value of a mutual fund. It represents the value of each share of a mutual fund and is calculated by subtracting the mutual fund's liabilities from the total value of its assets and dividing the result by the number of shares outstanding. The book value refers to the value of a company's assets minus its liabilities, while the outstanding balance is a term used to describe the amount of debt that is still owed. The LIBOR rate is an interest rate benchmark that represents the rate at which banks can borrow from each other. The accounting value is not a commonly used term in finance, but it could refer to the value of a company's assets as reported in its accounting books.

The Value of a Mutual Fund's Portfolio Minus the Mutual