Background information

You are a senior Fund Accountant working in a busy Fund Accounting department; as part of your role, you both prepare and review funds before releasing the prices to your Transfer Agency department for release to the wider market. You have strong experience in valuing more traditional equity and bond funds and in the last year also gained good experience of dealing with funds that have held derivatives.

The funds in your remit are all daily priced funds and your clients are primarily US based with the base currency being US Dollars. Today is Tuesday the 8th of August 2023 (ignore any bank holiday) and the following accounting information is applicable for one of the funds under your supervision:

The Fund receives total subscription orders for 12,000 shares into the fund to be processed; note that all subscriptions to and redemptions from the fund are settled on a same-day basis. The subscription price is based on yesterdays calculated NAV per share. The fees on the fund are as

follows:

• Investment Manager’s fees are 1.40% per annum of the previous day’s Net Asset Value.
• Custody fees of 0.30% per annum of the previous day’s Net Asset Value.
• The Fund Administrator on the fund earns a fee of 0.45% (per annum), calculated daily based on the fund’s prior-day NAV, subject to a minimum calculation fee of $110,000 per annum.
• Fixed Legal fees are expected to be $20,000 per annum