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A 401(k)plan Is an Agreement in Which

Question 98

Multiple Choice

A 401(k) plan is an agreement in which


A) a percentage of an employee's pay is withheld and invested in a tax-deferred account.
B) an employee can pre-pay taxes on future pension income.
C) individualized pension plans are established for self-employed people.
D) the benefits of the pension plan are guaranteed by the government.

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