A Defined Contribution Pension Program Is One in Which

question 32

Multiple Choice

A defined contribution pension program is one in which

• A)The plan that defines eligibility for retirement and benefits according to a set of rules and a formula.
• B)Those in the plan, as well as their employer, contribute to an account according to a formula, and the investment of that account is under the control of the employee.
• C)Everyone gets the same amount regardless of how much they work.
• D)Benefits are untaxed.

Understand the implications of vicarious liability for employers in cases of employee negligence.

Recognize the legal requirements and employment standards pertaining to notice periods and severance pay.

Understand the procedures and conditions for decertification of a union.

Appreciate the significance of representation votes in determining employee support for unions and collective bargaining agreements.

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Definitions:

Investment Account

An account established to hold investments such as stocks, bonds, mutual funds, and other assets for long-term growth or income generation.

Adjusted Subsidiary Value

The valuation of a subsidiary company after making necessary adjustments to its assets and liabilities to reflect fair value or to eliminate intercompany transactions.

Preferred Stock

A category of corporate ownership that ranks above common stock regarding asset and earning claims, typically paying out dividends at a fixed rate.

Outstanding Common Stock

The total shares of common stock that are currently held by shareholders, including those held by the public as well as restricted shares owned by the company’s officers and insiders.