A client recently purchased a sizeable number of mutual fund shares and knows that the Net Asset Value will change daily. The customer asks the RR how the NAV number is computed. Which of the following best describes the computation to arrive at NAV per share?
(A) NAV per share is calculated by finding the average value on a per share basis over the previous quarter.
(B) NAV per share is calculated by subtracting the liabilities of the fund from the total assets of the fund, then dividing this number by the total number of shares currently outstanding.
(C) NAV per share is calculated by taking the total value of the portfolio of the fund, adding sales charges received, and then dividing this figure by the total number of shares currently outstanding.
(D) NAV per share is calculated by finding the total appreciation of the portfolio and dividing this figure by the total number of shares outstanding.
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