Malcolm Is Interviewing for a New Job and He Is

question 33

Multiple Choice

Malcolm is interviewing for a new job and he is evaluating the quality of the pension plans offered for each company he is considering.One company offers a pension plan in which the company will make all contributions to the plan and will base his pension benefit on a formula linked to his pay at the time of retirement and the number of years he works for the firm.This pension plan could be classified as a ________.

• A) non-contributory, defined contribution
• B) contributory, defined benefit
• C) non-contributory, defined benefit
• D) contributory, qualified plan

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Definitions:

Pyrotechnics

The art of making or displaying fireworks, sometimes used in entertainment or celebrations.

Trumpet

A brass wind instrument with a flared bell and three buttons (valves) that is commonly used in classical and jazz music.

Pyrotechnics

The art, craft, or science of making and using fireworks or related explosive devices for entertainment, military, or industrial purposes.

Fourth of July

A U.S. holiday commemorating the Declaration of Independence of the United States, on July 4, 1776.