An Example of Compounding Is

question 81

Multiple Choice

An example of compounding is

• A)buying stocks that do not pay dividends.
• B)buying a strip bond.
• C)using dividends to pay your cell phone bill.
• D)reinvesting dividends to purchase more units.

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Definitions:

Cognitive

Concerning the cognitive functions used in gaining understanding and insight, such as cognition, recognition, recollection, evaluation, and resolving issues.

Placebo Effect

The phenomenon where an individual experiences a perceived improvement in condition due to a placebo, which they believe is an active medication.

Meta-Analysis

A statistical technique for combining the findings from independent studies to determine the overall trend or effect.

Psychosurgery

Surgical operations that change brain tissue in order to treat psychological disorders.