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A Defined Benefit Plan

Question 59

Multiple Choice

A defined benefit plan:


A) is always fully funded, with no shortfall requirement.
B) may have a shortfall, but the Commonwealth government will make good the shortfall.
C) may have a shortfall, but the employer will make good the shortfall.
D) is where the employee bears the risk if the performance of the investment is bad.

Correct Answer:

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