Vesting as Used in a Pension Plan Means

question 68

Multiple Choice

Vesting as used in a pension plan means:

• A) that there are adequate funds to pay out expected benefits
• B) that a beneficiary's rights to receive payments cannot be taken away
• C) that the plan covers all eligible employees
• D) that the plan is adequately insured
• E) that the plan has qualified for all government approvals

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Definitions:

Innovative

Relating to the introduction of new ideas, methods, or products.

Demand Elasticity

An indicator of the extent to which the demand for a product or service shifts as a result of variations in its price.

Locking in Customers

Refers to strategies used by companies to retain customers, often through the use of long-term contracts, proprietary technology, or loyalty programs.

Exclusive Government Contract

A legal agreement where a government grants only one company the right to provide goods or services, prohibiting competitors.