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In a Defined Contribution Plan, a Formula Is Used That

Question 1

Multiple Choice

In a defined contribution plan, a formula is used that


A) defines the benefits that the employee will receive at retirement.
B) ensures that pension expense and the cash funding amount will be different.
C) requires an employer to contribute a sufficient sum each period based on the future benefit.
D) ensures that employers are not at risk to make sure funds are available at retirement.

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