Which of the Following Statements Concerning Cafeteria Plans Is True

question 41

Multiple Choice

Which of the following statements concerning cafeteria plans is true?

• A) Allows employees to choose from a menu of fringe benefits or to choose cash.
• B) Most of the menu choices are nontaxable fringe benefits.
• C) Any receipt of cash option that is elected is treated at taxable compensation.
• D) All of the statements are true.

---

Definitions:

Spermatic Cord

A bundle of fibers and tissues including the vas deferens, blood vessels, nerves, and muscle that run from the abdomen to each testicle.

Varicocele

An abnormal enlargement of the venous plexus in the scrotum, akin to varicose veins, often affecting fertility in men.

Benign Prostatic Hyperplasia

Noncancerous enlargement of the prostate gland, common in older men.

Benign Prostatic Hyperplasia

A non-cancerous enlargement of the prostate gland, common in older men, which can cause urinary problems.