Net asset value is calculated by the total value of all the assets the _________________.

Question

Quizplus · Accepted Answer

Net asset value (NAV) is calculated by dividing the total value of all the assets the fund holds by the number of mutual fund shares outstanding. This gives the per-share value of the fund. Therefore, option D is the correct answer. Option A is a close second, but it does not mention dividing by the number of mutual fund shares outstanding, which is a crucial step in the calculations of NAV. Option B and C are incorrect as they introduce irrelevant information, such as historical average and number of shareholders, respectively, which are not relevant to the calculation of NAV.

Net Asset Value Is Calculated by the Total Value of All