Which of the Following Statements About Section 401(k)plans Is True

Which of the following statements about Section 401(k) plans is true?

A) Elective salary deferrals to these plans are free of federal income taxation until the funds are actually withdrawn.
B) These plans are exempt from rules that prevent discrimination in favor of highly compensated employees.
C) There is no limit on the actual percentage of salary that can be deferred by highly compensated employees under a qualified plan.
D) If an employee takes the funds made available to him or her in cash,the money received is not taxable.