A Mutual Fund Had NAV Per Share of $26

Multiple Choice

A mutual fund had NAV per share of $26.25 on January 1, 2018. On December 31 of the same year, the fund's rate of return for the year was 16.4%. Income distributions were $1.27, and the fund had capital gain distributions of $1.85. Without considering taxes and transactions costs, what ending NAV would you calculate?

A) $27.44
B) $33.88
C) $24.69
D) $42.03
E) $16.62