Which of the Following Statements Regarding Defined Benefit Plans Is

question 13

Multiple Choice

Which of the following statements regarding defined benefit plans is False?

• A) The benefits are based on a fixed formula.
• B) The vesting period can be based on a graded or cliff schedule.
• C) Employees bear the investment risks of the plan.
• D) Employers are generally required to make annual contributions to meet expected future liabilities.

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Definitions:

Breached

The act of failing to fulfill the terms of a contract, agreement, or duty.

Tortfeasor

A person who commits an intentional or through-negligence tort that causes a harm or loss for which a civil remedy may be sought.

Fraudulent Misrepresentation

A false statement of fact made by one party to another, with the intention of inducing the latter into entering a contract, resulting in harm or loss.

Relied Upon

Depended on or trusted, often in the context of information or services that are considered to be dependable.