Henry Has a Defined Benefit Plan That Promises an Annual

question 8

Multiple Choice

Henry has a defined benefit plan that promises an annual retirement benefit based on 2% of his final 5-year average annual salary for each year of service. At retirement, Henry has 21 years of service and had an average salary of $95,000 over the last 5 years. His annual benefit will be:

• A) $95,000.
• B) $60,500.
• C) $49,875.
• D) $39,900.
• E) $15,200.

---

Definitions:

Functionalist Theory

A sociological perspective that views society as a complex system whose parts work together to promote solidarity and stability, focusing on the functions of different social institutions.

Differential Association Theory

A theory in criminology that suggests individuals learn deviant behavior through their interactions and communications with others.

Utilitarianism

A theory in normative ethics holding that the best moral action is the one that maximizes utility or happiness for the greatest number of people.

Positivism

A philosophical approach that emphasizes the observational and empirical evidence as the foundation for knowledge and understanding.