What Is Dollar Cost Averaging?
The word average refers to the price you pay per unit, not to your profit.
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1.What is dollar-cost averaging?
The word average refers to the price you pay per unit, not to your profit.
2.Why does a fixed amount average out the price?
The price you end up paying lands somewhere between the lowest and the highest price you saw.
3.Path A has prices 10, 5, 10. How many units does Marge buy with 100 each month?
10 plus 20 plus 10 equals 40 units.
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Education only. Not financial advice.