Which of the Following Is Not a Characteristic of a Defined-Contribution

question 103

Multiple Choice

Which of the following is not a characteristic of a defined-contribution pension plan?

• A) The employer's contribution each period is based on a formula.
• B) The benefits to be received by employees are determined by an employee's highest compensation level defined by the terms of the plan.
• C) The accounting for a defined-contribution plan is straightforward and uncomplicated.
• D) The benefit of gain or the risk of loss from the assets contributed to the pension fund is borne by the employee.

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Definitions:

Psyche

The total of the human mind, conscious and unconscious.

Largest Slum

A heavily populated urban area characterized by substandard housing and squalor, often described as the most extensive in size or population.

Khayelitsha

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Innate

Inherent or natural characteristics or abilities not acquired or learned.