Brenda Purchases Stock and Plans to Hold on to It

question 131

Multiple Choice

Brenda purchases stock and plans to hold on to it for a number of years. She could be considered to be using a

• A) Buy-and-hold technique.
• B) Direct investment plan.
• C) Direct reinvestment plan.
• D) Dollar cost averaging technique.
• E) Margin technique.

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Definitions:

Advertising

The profession or act of creating promotional content for commercial goods or services.

Standardized Product

Goods that are uniform in quality and specifications, enabling them to be interchangeable with similar products from other producers.

Perfect Competition

A market structure characterized by a large number of small firms, identical products, free entry and exit, and perfect information, leading to price takers.

Noticeable Effect

A significant impact or change that is easily observed or recognized.