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SIGNATURE SUSAN C. COTE'
TITLE TREASURER
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For the fiscal year ended (a) February 28, 1997
File number: 811-3712
SUB-ITEM 77C
Submission of Matters to a Vote of Security Holders
A Special Meeting of Shareholders was held on
October 30, 1996. At such meeting the shareholders
approved the following proposals:
a) Approval of the election of Edward D. Beach,
Eugene C. Dorsey, Delayne D. Gold, Robert F.
Gunia, Harry A. Jacobs, Jr., Donald D.
Lennox, Mendal A. Melzer, Thomas T. Mooney,
Thomas H. O'Brien, Richard A. Redeker, Nancy
H. Teeters, and Louis A. Weil as Directors of
the Fund each to hold office until the
earlier to occur of (i) the next meeting of
Shareholders at which Directors are elected
and until his or her successor shall have
been duly elected and shall have qualified or
(ii) their terms expire in accordance with
the Fund's retirement policy.
b) Approval of an amendment of the Fund's
fundamental investment restriction regarding
investment in shares of other investment
companies which would allow the Fund to
invest up to 10% of its total assets in
shares of other companies.
Affirmative Negative
votes cast votes cast
Abstain
59,834,598 4,281,771
4,049,876
c) Approval of an amendment of the Fund's
fundamental investment restriction regarding
unseasoned issuers which would prohibit the
Fund from purchasing any security if as a
result the Fund would have more than 5% of
its total assets invested in securities of
companies less than three years old.
Affirmative Negative
votes cast votes cast
Abstain
57,458,300 6,230,643
4,477,302
c) Approval of the selection of independent
accountants for the Fund conditioned upon the
right by vote of a majority of such Fund's
outstanding voting shares at any meeting
called for the purpose to terminate such
employment forthwith without penalties.
Affirmative Negative
votes cast votes cast
Abstain
78,558,520 1,127,936
3,119,769
For the period ended (a) 2/28/97
File number (c) 811-3712
SUB-ITEM 77 D
Policies with Respect to Security Investments
On October 30, 1996 the Fund's shareholders
approved the following changes to the Fund's investment
policies:
Approval of an amendment of the Fund's
fundamental investment restriction regarding
investment in shares of other investment companies
which would allow the Fund to invest up to 10% of
its total assets in shares of other companies.
Approval of an amendment of the Fund's
fundamental investment restriction regarding
unseasoned issuers which would prohibit the Fund
from purchasing any security if as a result the
Fund would have more than 5% of its total assets
invested in securities of companies less than
three years old.
For the fiscal year ended (a) 2/28/97
File number (c) 811-3712
SUB-ITEM 77I
Terms of New or Amended Securities
The Fund is authorized to issue 500 million Class
Z shares. Class Z shares are not subject to either an
initial or contingent deferred sales charge nor are
they subject to any Rule 12b-1 fees.
Class Z shares will be offered to a limited group of
eligible investors.
April 16, 1997
Securities and Exchange Commission
450 5th Street, N.W.
Washington, D.C. 20549
Dear Sirs:
We have read and agree with the comments contained in the
attached letter dated April 16, 1997.
Yours truly,
DELOITTE & TOUCHE LLP
New York, New York
February 25, 1997
Mr. Richard A. Redeker, President
Prudential Mutual Funds
Gateway Center Three
100 Mulberry Street
Newark, New Jersey 07102-4072
Dear Mr. Redeker:
This is to confirm that the client-auditor relationship between
Deloitte & Touche llp and the following Prudential Mutual Funds
has been terminated:
The BlackRock Government Income Trust
Global Utility Fund, Inc.
Prudential Allocation Fund
Prudential California Municipal Fund
Prudential Distressed Securities Fund, Inc.
Prudential Diversified Bond Fund, Inc.
Prudential Dryden Fund
Prudential Equity Income Fund
Prudential Europe Growth Fund, Inc.
Prudential Global Limited Maturity Fund, Inc.
Prudential Institutional Liquidity Portfolio, Inc.
Prudential Jennison Series Fund, Inc.
Prudential MoneyMart Assets, Inc.
Prudential Multi-Sector Fund, Inc.
Prudential Municipal Bond Fund
Prudential Municipal Series Fund
Prudential Pacific Growth Fund, Inc.
Prudential Special Money Market Fund, Inc.
Prudential Structured Maturity Fund, Inc.
Prudential World Fund, Inc.
The Global Total Return Fund, Inc.
The Target Portfolio Trust
Yours very truly,
DELOITTE & TOUCHE LLP
New York, New York
cc: Office of the Chief Accountant
SECPS Letter File
Securities and Exchange Commission
Mail Stop 9-5
450 5th Street, N.W.
Washington, D.C. 20549
April 16, 1997
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, DC 20549
RE: Funds managed or administered by Prudential Mutual Fund
Management LLC (the "Funds")
Gentlemen:
At meetings held between February 18 and 20, 1997, the Board of
Directors of the Funds (see attached exhibit) approved the
engagement of Price Waterhouse LLP as their independent auditors
for their fiscal years ending after February 28, 1997 to replace
the firm of Deloitte & Touche LLP effective March 1, 1997.
The reports of Deloitte & Touche LLP on the Funds' financial
statements for the past two fiscal years did not contain an
adverse opinion or a disclaimer of opinion and were not qualified
or modified as to uncertainty, audit scope, or accounting
principles.
In connection with the audits of the Funds' financial statements
for each of the prior two fiscal years and in the subsequent
interim period, there were no disagreements with Deloitte &
Touche LLP on any matters of accounting principles or practices,
financial statement disclosure, or auditing scope and procedures
which, if not resolved to the satisfaction of Deloitte & Touche
LLP, would have caused Deloitte & Touche LLP to make reference to
the matter in their report.
The Funds have requested Deloitte & Touche LLP to furnish them a
letter addressed to the Commission stating whether they agree
with the above statements. A copy of that letter, dated April
16, 1997 is attached hereto.
Sincerely,
Eugene S. Stark Grace Torres
Treasurer Treasurer
ESS/rr
\Gen-SECLtrPW-4-15-97.doc
Exhibit
Board of Next
Fund Director Fiscal Treasurer
Meeting
Date Year
End
The BlackRock Government 2/18/97 6/30/97 Eugene S.
Income Trust Stark
Global Utility Fund, Inc. 2/18/97 9/30/97 Grace
Torres
Prudential Allocation Fund 2/19/97 7/31/97 Grace
Torres
Prudential California 2/20/97 8/31/97 Eugene S.
Municipal Fund Stark
Prudential Distressed 2/19/97 11/30/9 Grace
Securities Fund, Inc. 7 Torres
Prudential Diversified 2/20/97 12/31/9 Eugene S.
Bond Fund, Inc. 7 Stark
Prudential Dryden Fund 2/19/97 9/30/97 Eugene S.
Stark
Prudential Equity Income 2/19/97 10/31/9 Grace
Fund 7 Torres
Prudential Europe Growth 2/21/97 4/30/97 Grace
Fund, Inc. Torres
Prudential Global Limited 2/19/97 10/31/9 Grace
Maturity Fund, Inc. 7 Torres
Prudential Government 2/20/97 2/28/98 Eugene S.
Income Fund, Inc. Stark
Prudential Institutional 2/21/97 3/31/97 Eugene S.
Liquidity Portfolio, Inc. Stark
Prudential Jennison Series 2/19/97 9/30/97 Eugene S.
Fund, Inc. Stark
Prudential MoneyMart 2/21/97 12/31/9 Grace
Assets, Inc. 7 Torres
Prudential Multi-Sector 2/19/97 4/30/97 Grace
Fund, Inc. Torres
Prudential Municipal Bond 2/20/97 4/30/97 Grace
Fund Torres
Prudential Municipal 2/20/97 8/31/97 Grace
Series Fund Torres
Prudential Pacific Growth 2/21/97 10/31/9 Eugene S.
Fund, Inc. 7 Stark
Prudential Special Money 2/21/97 6/30/97 Eugene S.
Market Fund, Inc. Stark
Prudential Structured 2/20/97 12/31/9 Eugene S.
Maturity Fund, Inc. 7 Stark
Prudential World Fund, 2/21/97 10/31/9 Grace
Inc. 7 Torres
The Global Total Return 2/19/97 12/31/9 Eugene S.
Fund, Inc. 7 Stark
The Target Portfolio Trust 2/18/97 12/31/9 Grace
7 Torres
First Financial Fund, Inc. 2/18/97 3/31/97 Grace
Torres
The High Yield Plus Fund, 2/18/97 3/31/97 Grace
Inc. Torres
For the fiscal year ended (a) 2/28/97
File number (c) 811-3712
SUB-ITEM 77M
Merger
On September 20, 1996, the Registrant acquired all
the net assets of Income Fund, a series of The
Prudential Institutional Fund (PIF), pursuant to a plan
of reorganization approved by Income Fund shareholders
on September 6, 1996. The reorganization was approved
by the Directors of the Registrant on May 8, 1996 but
did not require the approval of the Registrant's
shareholders. The acquisition was accomplished on
September 20, 1996, by a tax-free exchange of Class Z
shares of the Registrant for the net assets of Income
Fund.
PIF continues to be a registered investment
company and has no current intention to cease to be
such a company. Income Fund, a series of PIF, has
ceased operations.
PRINT ON COMPAQ
The Board of Directors of
Prudential Government Income Fund, Inc.:
In planning and performing our audit of the financial statements of
Prudential Government Income Fund, Inc. ("Fund") for the year ended
February 28, 1997, we considered its internal control structure,
including procedures for safeguarding securities, in order to
determine our auditing procedures for the purpose of expressing our
opinion on the financial statements and to comply with the
requirements of Form N-SAR, not to provide assurance on the
internal control structure.
The management of the Fund is responsible for establishing and
maintaining an internal control structure. In fulfilling this
responsibility, estimates and judgments by management are required
to assess the expected benefits and related costs of internal
control structure policies and procedures. Two of the objectives
of an internal control structure are to provide management with
reasonable, but not absolute, assurance that assets are safeguarded
against loss from unauthorized use or disposition and that
transactions are executed in accordance with management's
authorization and recorded properly to permit preparation of
financial statements in conformity with generally accepted
accounting principles.
Because of inherent limitations in any internal control structure,
errors or irregularities may occur and not be detected. Also,
projection of any evaluation of the structure to future periods is
subject to the risk that it may become inadequate because of
changes in conditions or that the effectiveness of the design and
operation may deteriorate.
Our consideration of the internal control structure would not
necessarily disclose all matters in the internal control structure
that might be material weaknesses under standards established by
the American Institute of Certified Public Accountants. A material
weakness is a condition in which the design or operation of the
specific internal control structure elements does not reduce to a
relatively low level the risk that errors or irregularities in
amounts that would be material in relation to the financial
statements being audited may occur and not be detected within a
timely period by employees in the normal course of performing their
assigned functions. However, we noted no matters involving the
internal control structure, including procedures for safeguarding
securities, that we consider to be material weaknesses as defined
above as of February 28, 1997.
This report is intended solely for the information and use of the
Board of Directors, management and the Securities and Exchange
Commission.
Deloitte & Touche LLP
New York, New York
April 11, 1997
- 2 -
Board of Directors or Trustees of:
Prudential Adjustable Rate Prudential High Yield
Securities Fund* Fund
Prudential Allocation Fund (2 Prudential
Portfolios) IncomeVertible Fund*
The BlackRock Government Income Prudential
Trust Intermediate Global
Global Utility Fund Income Fund
Nicholas-Applegate Fund Prudential Jennison
Prudential California Municipal Fund
Fund (2 Portfolios) Prudential MoneyMart
Prudential Distressed Assets
Securities Fund Prudential Mortgage
Prudential Diversified Bond Income Fund
Fund Prudential Multi-
Prudential Equity Fund Sector Fund
Prudential Equity Income Fund Prudential Municipal
Prudential Global Genesis Fund Bond Fund (3
Prudential Global Limited Portfolios)
Maturity Fund Prudential Municipal
Prudential Global Natural Series Fund (10
Resources Fund current
The Global Government Plus Fund Portfolios and 3
The Global Total merged Portfolios*)
Return Fund Prudential National
Prudential Government Municipals Fund
Income Fund Prudential Pacific
Prudential Government Growth Fund
Securities Trust - Prudential Small
Money Companies Fund
Market Series Prudential Structured
Maturity Fund
Prudential U.S.
Government Fund*
Prudential Utility
Fund
Prudential World Fund
* As of June 30, 1996, the Fund/Portfolio was no longer in operation.
The Fund/Portfolio merged into
another Fund within the Prudential Mutual Fund Family.
We have examined the accompanying description of the Prudential
Multiple Class Pricing Worksheet (the "Worksheet") application of
State Street Bank and Trust Company ("State Street"), custodian and
recordkeeper for the Prudential Mutual Funds (the "Funds"). Our
examination included procedures to obtain reasonable assurance about
whether (1) the accompanying description presents fairly, in all
material respects, the aspects of State Street's policies and
procedures that may be relevant to a Fund's internal control structure
relating to the Worksheet, (2) the control structure policies and
procedures included in the description were suitably designed to
achieve the control objectives specified in the description, if those
policies and procedures were complied with satisfactorily, and (3)
such policies and procedures had been placed in operation as of
June 30, 1996. The control objectives were specified by Prudential
Mutual Fund Management, Inc. Our examination was performed in
accordance with standards established by the American Institute of
Certified Public Accountants and included those procedures we
considered necessary in the circumstances to obtain a reasonable basis
for rendering our opinion.
In our opinion, the accompanying description of the aforementioned
application presents fairly, in all material respects, the relevant
aspects of State Street's policies and procedures that had been placed
in operation as of June 30, 1996. Also, in our opinion, the policies
and procedures, as described, are suitably designed to provide
reasonable assurance that the specified control objectives would be
achieved if the described policies and procedures were complied with
satisfactorily.
In addition to the procedures we considered necessary to render our
opinion as expressed in the previous paragraph, we applied tests to
specific policies and procedures, listed in Section I, to obtain
evidence about their effectiveness in meeting the control objectives,
described in Section I during the period from July 1, 1995 to June 30,
1996. The nature, timing, extent, and results of the tests are listed
in Section II. In our opinion the policies and procedures that were
tested, as described in Section II, were operating with sufficient
effectiveness to provide reasonable, but not absolute, assurance that
the control objectives specified in Section I were achieved during the
period from July 1, 1995 to June 30, 1996. However, the scope of our
engagement did not include tests to determine whether control
objectives not listed in Section I were achieved; accordingly we
express no opinion on the achievement of control objectives not
included in Section I.
The relative effectiveness and significance of specific policies and
procedures at State Street, and their effect on assessments of control
risk on the Funds are dependent on their interaction with the
policies, procedures, and other factors present at individual Funds.
We have performed no procedures to evaluate the effectiveness of
policies and procedures at individual Funds in connection with this
report.
The description of policies and procedures at State Street is as of
June 30, 1996, and information about tests of the operating
effectiveness of specified policies and procedures covers the period
from July 1, 1995 to June 30, 1996. Any projection of such
information to the future is subject to the risk that, because of
change, the description may no longer portray the system in existence.
The potential effectiveness of specified policies and procedures at
State Street is subject to inherent limitations and, accordingly,
errors or irregularities may occur and not be detected. Furthermore,
the projection of any conclusions, based on our findings, to future
periods is subject to the risk that changes may alter the validity of
such conclusions.
This report is intended solely for use by the management and Boards of
Directors/Trustees of the Funds, the independent auditors of the Funds
and the Securities and Exchange Commission.
August 23, 1996
SECTION I
Policies and Procedures Placed in Operation
Prudential Multiple Class Pricing Worksheet
The Prudential Mutual Funds (the "Funds") have adopted a multiple
class pricing system. The multiple class pricing system consists of
four classes of shares (Class A, Class B, Class C and Class Z). Class
A shares are subject to an initial sales charge, Class B and Class C
shares are subject to a contingent deferred sales charge and Class Z
shares have no sales charge (Class Z shares which were first offered
on March 1, 1996, are offered exclusively for sale to the PSI Pension
Plan). Each of the classes of shares represent interests in the same
portfolio of investments of the respective Fund and are identical in
all respects, except that each class is subject to different
distribution expenses and has exclusive voting rights with respect to
the Rule 12b-1 distribution plan pursuant to which such distribution
expenses are paid.
In order to allocate income and expenses among the classes of shares,
State Street Bank and Trust Company (the Funds' custodian and
recordkeeper) utilizes the Prudential Multiple Class Pricing Worksheet
(the "Worksheet") (see Exhibit I). The Worksheet is a manual
supplementary application that extracts relevant data from the Funds'
primary accounting system, allocates income and expenses among the
classes of shares and computes the daily net asset value and, if
applicable, the dividend/distribution for each class of shares.
Internal accounting controls that are relevant to the Fund can be
divided into two components - controls related to the mutual fund
accounting system resident at State Street Bank and Trust Company (the
"primary accounting system") and controls related to the Worksheet.
The specific control objectives and policies and procedures relating
to the Worksheet are described on pages 4 and 5. A description of the
tests of the policies and procedures designed to obtain evidence about
the operating effectiveness of those policies and procedures in
achieving the specific control objectives is included in Section II.
Control Objectives and Policies and Procedures
Prudential Multiple Class Pricing Worksheet
The Worksheet is a supplementary manual application to the Funds'
primary accounting system. Certain data is extracted from the primary
accounting system to allocate income and expenses and to calculate the
daily net asset value and, if applicable, dividends/distributions for
each class of shares. The primary accounting system includes the
details of transactions in accordance with the Investment Company Act
of 1940, as amended.
The following represents the internal accounting control objectives
and policies and procedures for the allocation of income and expenses
and the computation of the net asset value and, if applicable, the
dividend/distribution for each class of shares utilizing the
Worksheet. It does not cover the internal accounting control policies
and procedures surrounding the processing of information into the
Funds' primary accounting system.
CONTROL POLICIES
CONTROL OBJECTIVES AND PROCEDURES
A. Capital share activity as 1. Daily, the transfer
reported by the Fund's transfer agent forwards
agent is recorded for each class reports of capital
in an accurate and timely manner share activity for
by the Fund. each class which
includes a summary
of subscriptions,
redemptions,
exchanges and other
information (the
"Supersheet"). The
opening day's
balance for shares
outstanding and
current day activity
is recorded on the
Worksheet.
2. Estimated interim
share activity for
the current day not
recorded in the
Supersheet is
received via telefax
from the transfer
agent and is
recorded for each
class on the
Worksheet.
3. A report of
outstanding shares
eligible for
dividends is
received from the
transfer agent and
is recorded for each
class on the
Worksheet.
B. Net Asset Value ("NAV") and, if 1. The prior days
applicable, the ending NAV per
dividend/distribution for each share (b) for each
class are accurately computed on class is agreed to
a daily basis. the prior day's
Worksheet.
2. The daily net
capital stock
activity for each
class for the
current day is
agreed to the
Supersheet as
described in
Control Procedures
A.1., 2. and 3.,
above.
3. Percentage Assets
by Class and
Percentage Dividend
Assets by Class are
calculated for each
class based upon
information from
the prior day
Worksheet, the
Supersheet and the
telefax from the
transfer agent.
CONTROL POLICIES
CONTROL OBJECTIVES AND PROCEDURES
4. Allocate investment
income among
classes based on
the appropriate
asset allocation
percentage for each
class.
5. Agree composite
income accounts,
management fees,
other expenses,
realized gains and
losses, and
unrealized
appreciation/deprec
iation to the
primary accounting
system of the Fund.
6. Allocate expenses
among classes as
follows:
a. Expenses
directly
attributable to
each class (12b-
1 distribution
expenses) are
calculated and
recorded to that
class.
b. Expenses
attributable to
both classes are
allocated in
accordance with
the appropriate
asset allocation
percentage for
each class.
7. Allocate realized
and unrealized
gains and losses
among the classes
in accordance with
the appropriate
asset allocation
percentage of each
class.
8. Record
dividends/distribut
ions to
shareholders of
each class in the
primary accounting
system.
9. Aggregate the net
assets for each
class and agree to
the total net
assets per the
primary accounting
system.
10.For each class,
reconcile the
current day's NAV
and, if applicable,
the
dividend/distributi
on to the previous
day's NAV and
dividend/
distribution for
each class.
11.The above
procedures are
reviewed by the
Fund supervisor or
manager.
SECTION II
Tests of Operating Effectiveness
Prudential Multiple Class Pricing Worksheet
July 1, 1995 to June 30, 1996
We reviewed the methodology and procedures for calculating the daily
net asset value and, if applicable, the dividends/distributions of the
classes of shares and the allocation of income and expenses among the
classes of shares.
The following are the detailed procedures which we performed with
respect to the Worksheet. These procedures were performed for
selected days encompassing all Funds subject to multiple class pricing
during the year ended June 30, 1996, which we believe is a
representative sample, to test compliance with the control policies
and procedures as described in Section I.
Prudential Mutual Fund Management, Inc. is the manager of the Funds
and has represented to us that adequate facilities are in place to
ensure implementation of the methodology and procedures for
calculating the net asset value and dividends/distributions of the
classes of shares and the allocation of income and expenses among the
classes of shares. Based on our review of the description of the
policies and procedures of the Worksheet, as described in Section I,
and performance of tests of operating effectiveness as described in
Section II, we concur with such representation.
Agreed "Prior Day NAV Per Share" to the previous day's Worksheet.
Agreed "Shares Outstanding Beginning of the Day" to the previous
day's Worksheet and to the transfer agency records for each class.
Recalculated "Activity/Estimate" by adding the estimated interim
share activity reported via fax from the transfer agent and the
current day's "Capital Stock Activity" reported on the Supersheet
for each class.
Recalculated "Current Shares Outstanding" by adding "Shares
Outstanding Beginning of the Day" and "Activity/Estimate" for each
class.
Recalculated for each class "Adjusted Total Assets" by multiplying
"Prior Day NAV Per Share" by "Current Shares Outstanding".
Recalculated "Percentage Assets-Class A/Front End" by dividing
"Adjusted Total Assets-Class A/Front End" by "Adjusted Total
Assets Composite".
Recalculated "Percentage Assets-Class B(C)/Back End" by dividing
"Adjusted Total Assets-Class B(C)/Back End" by "Adjusted Total
Assets Composite".
Recalculated "Percentage Assets-Class Z/No Fee" where applicable,
by dividing "Adjusted Total Assets-Class Z/No Fee" by "Adjusted
Total Assets Composite".
Agreed "Dividend Shares" to the transfer agency records for each
class.
Recalculated "Current Dividend Shares" by adding "Dividend Shares
Beginning of Day" and "Activity/Estimate" for each class.
Recalculated for each class "Adjusted Dividend Assets" by
multiplying "Prior Day NAV Per Share" by "Current Dividend
Shares".
Recalculated "Percentage Dividend Assets-Class A/Front End" by
dividing "Adjusted Dividend Assets-Class A/Front End" by "Adjusted
Dividend Assets Composite".
Recalculated "Percentage Dividend Assets-Class B(C)/Back End" by
dividing "Adjusted Dividend Assets-Class B(C)/Back End" by
"Adjusted Dividend Assets Composite".
Recalculated "Percentage Dividend Assets-Class Z/No Fee" where
applicable, by dividing "Adjusted Dividend Assets-Class Z" by
"Adjusted Dividend Assets Composite".
Agreed composite total of each component of income to the primary
accounting system.
Recalculated the allocation for each class of each component of
income for daily dividend funds by multiplying the composite total
by "Percentage Dividend Assets-Class A/Front End", "Percentage
Dividend Assets-Class B(C)/Back End" and where applicable,
"percentage Dividend Assets-Class Z/No Fee", and for non-daily
dividend funds by multiplying the composite total by "Percentage
Assets-Class A/Front End", "Percentage Assets-Class B(C)/Back End"
and where applicable, "Percentage Assets-Class Z/No Fee".
Recalculated "Daily Income," composite and for each class, by
totaling each component of income.
Agreed composite total "Management Fee" and "Other Fixed Expenses"
to the primary accounting system.
Recalculated the allocation for each class of "Management Fee" and
"Other Fixed Expenses" for daily dividend funds by multiplying the
composite total by "Percentage Dividend Assets-Class A/Front End",
"Percentage Dividend Assets-Class B(C)/Back End" and where
applicable, "percentage Dividend Assets-Class Z/No Fee", and non-
daily dividend funds by multiplying the composite total by
"Percentage Assets-Class A/Front End", "Percentage Assets-Class
B(C)/Back End" " and where applicable, "Percentage Assets-Class
Z/No Fee"
Agreed the "12b-1 Fee-Class A/Front End" and "12b-1 Fee-Class
B(C)/Back End" to the respective "PC Expense Worksheet".
Recalculated "Daily Expense," composite and for each class, by
totaling "Management Fee," "12b-1 Fee" and "Other Fixed Expenses".
Recalculated "Daily Net Income" for each class by subtracting
"Daily Expense" from "Daily Income".
Recalculated "Dividend Rate" for each class for daily dividend
funds by dividing "Daily Net Income" by "Dividend Shares Beginning
of Day-Class A/Front End", "Dividend Shares Beginning of Day-Class
B(C)/Back End" and where applicable, "Dividend Shares Beginning of
Day-Class Z/No Fee".
Agreed "Daily Income" and "Income Distribution" for each class to
the primary accounting system.
Agreed the "Capital Gain Distribution" to the amount recorded in
the primary accounting system.
Agreed composite total "Realized Gain/Loss" and "Unrealized
Appreciation/Depreciation" to the primary accounting system.
Recalculated the allocation for each class of "Realized Gain/Loss"
and "Unrealized Appreciation/Depreciation" by multiplying the
composite amount by the "Percentage Assets-Class A/Front End",
"Percentage Assets-Class B(C)/Back End" and where applicable,
"Percentage Assets-Class Z/No Fee".
Agreed "Prior Days Net Assets" to the previous day's Worksheet.
Recalculated "Net Assets", composite and for each class, by
totaling "Daily Net Income", "Income nDistributed", "Capital Stock
Activity", "Capital Gain Distribution", "Realized Gain/Loss",
"Unrealized Appreciation/Depreciation", and "Prior Days Net
Assets".
Recalculated "NAV Per Share" dividing the "Net Assets-Class
A/Front End", "Net Assets - Class B(C)/Back End" and where
applicable, "Net Assets-Class Z/No Fee" by "Current Shares
Outstanding - Class A/Front End", "Current Shares Outstanding -
Class B(C)/Back End" and where applicable, "Current Shares
Outstanding-Class Z/No Fee", respectively.
Recalculated "Offering Price" for Class A shares by applying the
"Load" percentage as stated in the fund's prospectus.
