Which of the Following Is Not True with Regard to Pension

question 228

Multiple Choice

Which of the following is not true with regard to pension plans?

• A) Pension plans are arrangements designed to provide income to individuals during their retirement years.
• B) A defined contribution pension plan creates a liability for the employer.
• C) A pension fund (plan assets) is established by the employer for a defined benefit pension plan.
• D) Pension expense is reported for a defined benefit pension plan.

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Definitions:

Organizations

Entities composed of individuals and resources, structured to achieve specific goals through a collective effort.

Bureaucratic Control System

A formal system of organization based on clearly defined hierarchical levels and roles, focused on following rules and procedures to manage operations.

Organizational Culture

The collective values, beliefs, and principles of organizational members which give an organization its unique character.

Participative Organizational Culture

A workplace environment where decision-making is shared among employees at all levels, encouraging collaboration and collective ownership of outcomes.