If a government participates in a defined contribution pension plan,which of the following always will be true?

Question

Quizplus · Accepted Answer

In a defined contribution pension plan, the government (or employer) commits to contribute a defined amount to the employee's pension fund. The government reports these contributions as expenditures (in governmental funds) or expenses (in proprietary and fiduciary funds). The other options are not always true for defined contribution plans. Pension trust funds, actuarial values, and liabilities for other postemployment benefits are more relevant to defined benefit plans.

If a Government Participates in a Defined Contribution Pension Plan,which