The general theory of dollar cost averaging is
A) to time the market to take advantage of low stock prices.
B) to buy more stock when prices are low and less when prices are high.
C) to equal the performance of market averages at the lowest dollar cost.
D) to sell as markets decline and buy as they begin to rise.

Question

Quizplus · Accepted Answer

Dollar cost averaging involves investing a fixed amount of money at regular intervals, regardless of the stock price. This strategy naturally buys more shares when prices are low and fewer shares when prices are high, without attempting to time the market.

The General Theory of Dollar Cost Averaging Is