Which of the Following Statements Is Incorrect Regarding Unfunded Deferred

question 29

Multiple Choice

Which of the following statements is incorrect regarding unfunded deferred compensation plans?

• A)The employee is not taxed on the compensation amount when it is deposited in an escrow account.
• B)An accrual-basis employer can deduct the compensation amount when it is accrued in the year service.
• C)An employee is taxed when the amount is actually paid or made available.
• D)A 20% excise tax will apply if the employee can voluntarily elect to receive payment early.

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Definitions:

Ports

Physical docking points on a computer or networking device used for connecting cables and peripherals.

Intermittent

Occurring at irregular intervals; not continuous or steady, often used to describe problems or behaviors in electronic devices that happen sporadically.

Connectivity

The ability of devices to connect with other devices or networks to share data and resources.

MAC Address

A unique identifier assigned to network interfaces for communications on the physical network segment.