Daksh is planning to invest in Systematic Investment Plan (SIP) of a mutual fund with a fixed sum of ₹ 20,000 on 2nd of every month for four months. The NAV on these dates are ₹ 30.76, ₹ 42.18, ₹ 38.15 and ₹ 40.25 respec

The calculation involves determining the total price per unit after entry load and then the number of units purchased each month. Finally, the average buy price is calculated. Calculation of Units Purchased: Month NAV (in ₹) (a) Entry load (in ₹) 1.75% (b) Total Price (in ₹) (c) = (a) + (b) Investment (₹) No. of Units (20,000 / c) 1 30.76 0.5383 31.2983 20,000 639.0123 2 42.18 0.7381 42.9181 20,000 466.0038 3 38.15 0.6676 38.8176 20,000 515.2302 4 40.25 0.7043 40.9543 20,000 488.3492 Total Investment = ₹ 20,000 x 4 = ₹ 80,000 Total Units Purchased = 639.0123 + 466.0038 + 515.2302 + 488.3492 = 2108.5955 units Average Buy Price: Average Price = Total Amount / Total No. of Units Average Price = ₹ 80,000 / 2108.5955 = ₹ 37.9399 Therefore, the average buy price including the amount of entry load is ₹ 37.94 (rounded off).