A Problem Withproviding Flexibility in Benefit Choice Is That_____

question 8

Multiple Choice

A problem withproviding flexibility in benefit choice is that_____.

• A) it does not cover higher-risk employees
• B) it increases the risk of adverse selection by employees
• C) it is typically discriminatory in nature
• D) it increases attrition rates

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Definitions:

Subjective Approach

A method of decision-making or analysis based on personal feelings, tastes, or opinions rather than external facts or evidence.

Mandated Projects

Projects that are required by legal or regulatory requirements, often for compliance with laws, regulations, or because of safety and welfare concerns.

Flotation Cost

Flotation cost refers to the total expenses incurred by a company in issuing new securities, including underwriting, legal, registration, and other associated fees.