Response to the following problem:
A year ago, an investor bought 200 units of a managed fund at $8.50 per unit; over the past year, the fund has made an income distribution of 90 cents per unit and had a capital gains distribution of 75 cents per unit.
a. Find the investor's holding period return, given that this fund now has a net tangible asset value of $9.10.
b. Find the holding period return, assuming all the dividends and capital gains distributions are reinvested into additional units of the fund at an average price of $8.75 per unit.