What was the fund's return in 2023?

Question 34

EasyOriginal question

A mutual fund's NAV was ₹50 at the start of 2022, ₹60 at the end of 2022, ₹54 at the end of 2023 and ₹72 at the end of 2024. (Take $(1.44)^{1/3} = 1.1292$ .)

What was the fund's return in 2023?

- \frac{100}{9}

%Correct answerYour answer−10%Correct answerYour answer−6%Correct answerYour answer8%Correct answerYour answer

Show the answer and explanation

CorrectNot quiteAnswer B

Correct answer: B

Return $= \frac{54 - 60}{60} \times 100$ .
$-10\%$ : the NAV fell.

Worth noting

8% compares 54 with the ₹50 the fund started at; 2023's return starts from 2022's close.

Concept: A negative return
Typical timeTypical: 90 s
Your timeYours: —

The rule this testsRate of return and CAGR

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Ten questions from EMI, CAGR & Depreciation, at your own pace.

Practise this chapter →

Ten questions from EMI, CAGR & Depreciation, at your own pace.

What was the fund's return in 2023?

Question 34

Explanation