Which of the Following Is True of Early Retirement Programs

question 21

Multiple Choice

Which of the following is true of early retirement programs?

• A) They should be an integral part of a strategy to lay off employees.
• B) Eligibility is usually based on age and years of service.
• C) These programs should be informal.
• D) These programs are often involuntary.

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Definitions:

Dividend Yield

A financial measure that represents the yearly dividend payout by a company compared to its stock price.

Expected Growth Rate

This is the rate at which a company, economy, or investment is anticipated to grow at an average annual rate over a specified period.

Expected Capital Gains Yield

The anticipated return on an investment due to the appreciation in value of the investment's assets, excluding dividends.

Constant Rate

A steady, unchanging rate of growth or decline, often used in the context of compounding interest or economic indicators.