RST Company offers a qualified retirement plan. Each employee contributes 4 percent of his or her pretax income to the plan, and RST matches the employee's contribution

An employee's benefit at retirement is determined by his or her account balance at the time of retirement. What type of retirement plan does RST offer?
A) defined benefit, flat percentage of annual earnings
B) defined benefit, flat dollar amount for all employees
C) defined benefit, unit-credit formula
D) defined contribution money purchase plan

Answer: D

Business

You might also like to view...

Compare and contrast the three major segmenting strategies

What will be an ideal response?

Business

A group of five factory workers who go bowling every Thursday night to satisfy their common need for affiliation is an example of ________

A) a formal work group B) an informal work group C) a command group D) a task force

Business