Question

Gretchen wants to start investing and her broker recommends that she use $100 of her weekly paycheck to purchase shares in stocks. Her father recommends buying $400 in shares every month instead, because it will save on fees and commissions. Who is correct and why?

Answer 1

Select the best answer from the choices provided.
The broker is correct because four small trades result in paying smaller fees than one larger trade.
The father is correct because one larger trade would have smaller fees than four smaller ones.
The broker is incorrect because four trades each month is over the breakpoint.
The father is incorrect because buying $400 at once will cost more in commissions than four smaller purchases

Answer 2

@JoannaBlackwelder

Answer 3

@jim_thompson5910

Answer 4

Looks like b to me

Answer 5

3 ways to reduce commissions
Limit your trading – If you buy and sell stocks often, you'll pay a lot in commissions. This will reduce your returns.
Ask for a lower rate – If you trade frequently enough to be considered an active trader, your adviser or investment firm may give you a better deal on commissions.
Pay for the level of service you need – If you’re new to stock investing, you may want the advice of an adviser at a full-service firm. If you have experience investing in stocks and doing your own research, you’ll save in commissions with a discount brokerage.

Answer 6

thats what i had

Answer 7

:)