This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Under a 401(k) plan, what is compared to determine if the plan unfairly discriminates in favor of ... (Read 53 times)

ec501234

  • Hero Member
  • *****
  • Posts: 573
on: Jul 11, 2018
Under a 401(k) plan, what is compared to determine if the plan unfairly discriminates in favor of highly compensated employees?
 
  A) the average percentage of salary made available to the highly compensated to defer is compared to the average percentage of salary made available to other eligible employees to defer
  B) the ratio of eligible highly compensated employees is compared to the ratio of eligible other employees
  C) the average percentage of salary deferred by the highly compensated is compared to the average percentage of salary deferred by other eligible employees
  D) the percentage of highly compensated employees over age 50 who participate is compared to the percentage of all other employees who participate

Question 2

Under one type of retirement plan for small businesses, the employer contributes to an IRA established for each eligible employee.
 
  Under this type of plan, the contribution limits are significantly higher than they are for traditional IRAs and Roth IRAs. This type of plan, which requires little paperwork, is called a
  A) simplified employee pension (SEP) plan.
  B) defined benefit plan.
  C) Keogh plan.
  D) 403(b) plan.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

kjohnson

  • Sr. Member
  • ****
  • Posts: 330
Reply #1 on: Jul 11, 2018
Answer to Question 1

Answer: C

Answer to Question 2

Answer: A


ec501234

  • Member
  • Posts: 573
Reply 2 on: Jul 11, 2018
Gracias!

dawsa925

  • Member
  • Posts: 326
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Human neurons are so small that they require a microscope in order to be seen. However, some neurons can be up to 3 feet long, such as those that extend from the spinal cord to the toes.

Did you know?

Hyperthyroidism leads to an increased rate of metabolism and affects about 1% of women but only 0.1% of men. For most people, this increased metabolic rate causes the thyroid gland to become enlarged (known as a goiter).

Did you know?

Increased intake of vitamin D has been shown to reduce fractures up to 25% in older people.

Did you know?

The oldest recorded age was 122. Madame Jeanne Calment was born in France in 1875 and died in 1997. She was a vegetarian and loved olive oil, port wine, and chocolate.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Use of fluorescent molecules by Lowenstein and colleagues to determine the size of gap-junction chan Use of fluorescent molecules by Lowenstein and colleagues to determine the size of gap-junction chan
Sample Teaching Plan for Hypertension Cont. Sample Teaching Plan for Hypertension Cont.
How to choose the right payment plan with changing conditions (Question 2) How to choose the right payment plan with changing conditions (Question 2)
Use Fleury’s algorithm to determine Euler Circuit in the following graph. Exhibit exactly one ... Use Fleury’s algorithm to determine Euler Circuit in the following graph. Exhibit exactly one ...
Innate and Adaptive Immunity Compared Innate and Adaptive Immunity Compared
Insect Body Plan: Grasshopper Insect Body Plan: Grasshopper
Video: Sister chromatids of a metaphase chromosome animation

For a complete list of videos, visit our video library