Which One of the Following Statements Concerning Formula Plans Is

question 65

Multiple Choice

Which one of the following statements concerning formula plans is correct?

• A) Formula plans are based on the adherence to a mechanical set of rules with regard to when to buy and/or sell.
• B) Securities with very stable prices are best suited to nearly all formula plans.
• C) The objective of most formula plans is to maximise profits.
• D) The use of subjective judgment is important to the routine administration of most formula plans.

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Definitions:

Unethical Purposes

The use of actions or strategies intended to promote personal or organizational gain through means that violate moral or professional principles.

Social Rejection

The experience of being excluded, ignored, or dismissed by others or within a social group.

Moral Development

The process through which individuals evolve their understanding of what is right and wrong, influencing their behavior and attitudes.

Shared Efforts

Collaborative work or tasks undertaken by a group where each member contributes towards achieving a common goal.