Which of the Following Statements Is Incorrect

question 98

Multiple Choice

Which of the following statements is incorrect?

• A)Qualified pension plans may be contributory or noncontributory.
• B)An employer can require employees to make contributions as long as the plan is non-discriminatory.
• C)A profit-sharing plan does not qualify as a pension plan because the amount of profit in a year cannot be known in advance.
• D)With a defined-contribution plan,the amount of total retirement benefits is unknown.

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Definitions:

Legal Detriment

A loss or disadvantage suffered by a party who acts or refrains from acting in a legal transaction.

Pre-existing Moral Obligation

A duty that arises from moral considerations or societal expectations rather than a legal contract.

Economy of Canada

The economic structure of Canada, characterized by its extensive natural resources, highly developed trade networks, and diverse sectors including manufacturing, services, and technology.

Family of Origin

Refers to the family unit one is born into, which plays a significant role in shaping an individual's early life experiences, values, and personality.