For a Long-Term Employee Who Is Covered by a Defined

question 46

Multiple Choice

For a long-term employee who is covered by a defined benefit plan,the highest retirement income will be obtained if his/her retirement income is based on

• A)initial average pay.
• B)random year annual pay.
• C)career-average pay.
• D)final average pay.

---

Definitions:

Mormon Followers

Members of The Church of Jesus Christ of Latter-day Saints, a religious group known for their unique beliefs in Christianity, founded by Joseph Smith in the early 19th century.

Utah

A state in the western United States known for its vast expanses of desert, the Wasatch Range of mountains, and the Great Salt Lake, as well as its significant Mormon community.

Corporations

Legal entities recognized by law that can acquire liabilities and assets, enter into contracts, and are formed to conduct business activities.

Free Agent

An individual who is free to make decisions and act independently, often used in the context of professional sports to describe players who are not bound by contracts to any team.