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Mental Accounting:- Separate Treatment of Retirement Funds

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Mental accounting is the practice of treating different sources of money or investment accounts as being different even though they are fungible. This is the tendency to treat one's retirement savings as "untouchable," for example, yet spending freely from other accounts. The bias leads to poor asset allocation or failure to take maximum retirement contributions because a person compa... https://www.fbsedu.in/placed-student
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