Having some clients who are less knowledgeable about investing and seem to be more trusting of their firm, the management of a financial advising organization has decided to use cash from newer investors to pay off older ones. The actions of management are an example ofa. a code of conduct. b. a Ponzi scheme. c. a JIT system. d. a business plan. e. insider trading.

Ponzi Scheme.

Explanation:

The Organisation described in the question is making use of Ponzi Scheme for their clients. A Ponzi scheme is a fraudulent form of business where initial investors are paid by later investors. The scheme promises abnormally high returns from investments within a short period, with some investors ending up losing their investments.

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1. c

2. b

3. a

4. c

5. a

6. b

7. c

8. c

9.b

10. d

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