In a Defined Contribution Pension Plan

question 15

Multiple Choice

In a defined contribution pension plan,

• A) The plan does not promise to pay the retiree a specific income stream after retirement.
• B) The plan does promise to pay the retiree a specific income stream after retirement.
• C) The employee's retirement income is not an obligation of the firm.
• D) The company carries the risk of paying future pension benefits to retirees.
• E) Choices a and c

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Definitions:

Western Cultures

Refers to societies typically found in Western Europe and North America, characterized by certain norms, values, and traditions.

Situational Attribution

The act of ascribing an individual's actions to outside or situational causes.

Dispositional Attribution

The tendency to attribute someone's behavior to their personality or inherent traits rather than to situational factors.

Cognitive Dissonance

A psychological discomfort experienced when holding contradictory beliefs or values, often leading to a change in belief or behavior to reduce discomfort.