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Which of the Following Statements Is True Regarding Pension Plans

Question 52

Multiple Choice

Which of the following statements is true regarding pension plans?


A) Under salary reduction plan,the employer's fiduciary decides where to invest funds.
B) Under defined benefit plan,the employee elects to contribute some amount of pretax income to his/her retirement account.
C) Under defined contribution plan,the risk of investment is borne by the employer.
D) Under ERISA,employer is not required to offer a pension plan.

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