A hedge fund charges a management fee of 2% and an incentive fee of 20%...
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Finance
A hedge fund charges a management fee of 2% and an incentive fee of 20% for the performance over the money market interest rate. Compute your total after-fee returns from investing $100,000 in a fund that has made a 20% return above the money market interest rate.
Assume that the money market rate is 0%.
a.
$20,000
b.
$14,000
c.
$16,000
d.
$18,000
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