The Theory Behind the Variable-Ratio Plan Is to

question 46

Multiple Choice

The theory behind the variable-ratio plan is to

• A) keep the unit cost of the portfolio at a constant level.
• B) passively buy and hold a wide variety of securities.
• C) avoid selling any security for a capital gain, and thus indefinitely avoiding the capital gains tax.
• D) time the cyclical movements of the share market and thereby "buy low and sell high."

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Definitions:

In-Groups

Social groups to which an individual feels a sense of belonging and identity, often distinguished by certain characteristics or interests.

Out-Groups

Groups of individuals not belonging to the dominant or main group in a social, work, or other settings, often lacking the same influence or privileges.

Acquaintance Phase

Describes the initial stage in the development of a relationship where individuals get to know each other, setting the foundation for further interaction and connection.

Leadership Making

The process of developing and enhancing leadership qualities within an organization through strategies like coaching, mentoring, and training.