A long-term investor can purchase a small number of extra shares in a company in a convenient,systematic,and inexpensive way through dividend reinvestment plans.

Question

Quizplus · Accepted Answer

Dividend reinvestment plans allow investors to use their dividends to automatically purchase additional shares of the company's stock, often at a discount or with no transaction fees. This can be a convenient, systematic, and cost-effective way for long-term investors to increase their holdings in a company over time.

A Long-Term Investor Can Purchase a Small Number of Extra