Mary works at a pharmaceutical company as a customer service representative. Her employer allows her to choose the set of benefits she will receive on top of preestablished sets of benefits, such as medical insurance and term life insurance.
The company gave her credits equal to 6 of her salary with which she decided to purchase dental and vision insurance. This pharmaceutical company uses what kind of benefits plan?
A) cafeteria
B) flexible benefits
C) employee-financed
D) core plus option
Question 2
The tax advantage afforded companies from offering particular discretionary benefits has strategic value for which of the following reasons?
A) It translates into cost savings to companies.
B) It may adversely undercut company profits.
C) It helps companies retain talented employees.
D) It may lead to a decrease in the number of benefits a company chooses to offer.
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