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If the Average Cost of a Stock Is $91

Question 3

Multiple Choice

If the average cost of a stock is $91.86 as determined by dollar cost averaging,which of the following is true?


A) You would lose money only if you sold your stock at less than $91.86.
B) You would gain money only if you sold your stock at less than $91.86.
C) You would lose money only if you purchased additional stock at greater than $91.86.
D) You would gain money only if you purchased additional stock at greater than $91.86.
E) You would not lose nor gain money regardless of the average cost of the stock.

Correct Answer:

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