Which of the Following Statements Represents a Major Advantage of a Deferred

question 92

Multiple Choice

Which of the following statements represents a major advantage of a deferred profit-sharing plan?

• A)Employees are usually offered a choice in how the funds are invested.
• B)The funds are secured from company revenues.
• C)Contributions and any investment income earned remains tax sheltered until retirement.
• D)Employees are guaranteed a fixed benefit upon retirement.

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Definitions:

Potential Sales

The possible future sales achievable in a given market segment or with a certain customer base, often used in forecasting.

Time Invested

The amount of time one dedicates to a particular activity, project, or goal, often with the expectation of future benefits.

Account

An Account typically refers to a record or arrangement by which an organization maintains its relationship with a customer or client, tracking transactions and interactions.

Non-verbal Communication

The process of conveying a message without the use of words, through gestures, facial expressions, and body language.