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XYZ Corp Is Looking into Providing a Retirement Plan for Their

Question 80

Multiple Choice

XYZ Corp is looking into providing a retirement plan for their employees. They would prefer a plan wherein they (the employer) make a benefit promise, and the actual benefit depends on the performance of an investment account kept on behalf of the plan participant. Which type of retirement plan should they purchase?


A) Cash-balance plan
B) Defined-benefit plan
C) Defined-contribution plan
D) Pension plan

Correct Answer:

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