6. Which of the following refers to the concept of applying capital to purchase income? (Search...
6. Which of the following refers to the concept of applying capital to purchase income? (Search Chapter 1)
• a. asset allocation • b. dollar-cost averaging • c. yield • d. annuitization
Homework Answers
The answer is D (Annuitization)
Annuitization is the concept of converting a principal amount into a series of periodic payments at regular intervals of time. (changing capital to purchase income). Thus, converting it into annuities.
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6. Which of the following refers to the concept of applying
capital to purchase income? (Search...
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