A Plan Specifies That the Employer Will Contribute 10 Percent

question 45

Multiple Choice

A plan specifies that the employer will contribute 10 percent of an employee's current salary.This plan is referred to as a(n) :

• A)money purchase plan.
• B)target plan.
• C)unit benefit plan.
• D)supplemental benefit plan.
• E)defined contribution plan.

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Definitions:

Executive Office

A segment of the government responsible for implementing laws and policies, often directly associated with the President or chief executive.

White House Staff

Employees who work directly for the President of the United States and his or her administration, often within the White House, providing a range of support and advisory functions.

Chief Executive

The highest-ranking executive in a company or government, tasked with making major corporate or policy decisions.

Federal Bureaucracy

The agencies and employees of the executive branch of government that carry out policies, laws, and administrative functions.