You Are Waiting at a Bus Stop Next to Someone

question 7

Multiple Choice

You are waiting at a bus stop next to someone who is smoking. The person takes a puff from the cigarette and exhales the smoke. You happen to inhale the smoke that this person has exhaled. What kind of smoke have you just inhaled?

• A) indoor smoke
• B) environmental tobacco smoke
• C) mainstream smoke
• D) sidestream smoke

Recognize the tax implications of deferred compensation under ERISA.

Understand the IRS's role in the qualification and regulation of retirement plans.

Identify the types of contributions and benefits associated with various retirement plans.

Understand the concept of cafeteria plans and their benefits to employees.

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Definitions:

Asset Account

An account on a company's balance sheet that represents a resource with economic value that is expected to provide future benefit.

Supplies

Items or materials used in the daily operations of a business.

Unearned Revenue

Money received by a business for goods or services yet to be delivered or performed, recorded as a liability on the balance sheet until earned.

Services Revenue

Revenue generated from providing services, as opposed to selling goods or products.