ECON 101 PFP Ch10 Complete Q&A (2022/2023.)

1. Which of the following is the second step of the retirement planning process? A. Analyze retirement risks. B. Familiarize yourself with retirement issues. C. Develop goals. D. Become knowledgeable about retirement structures. E. None of the above. 2. The percentage of the elderly population is expected to: A. Rise from 15 percent in 2000 to 20 percent in 2030. B. Rise from 5 percent in 2000 to 25 percent in 2030. C. Fall from 20 percent in 2000 to 15 percent in 2030. D. Fall from 25 percent in 2000 to 5 percent in 2030. E. None of the above. 3. Pensions are best defined as: A. The way through which the government supports the elderly. B. Tax-deductible retirement investments. C. Equity investments offered to state government employees. D. Savings structures into which money is deposited to generate income for retirees. E. None of the above. 4. The point at which an employee is entitled to a stated amount of nonrevocable benefits from an employer is known as: A. Limit point. B. Statement date. C. Vesting. D. Pension date. E. Either a or b. 5. The Employee Retirement Income Security Act: A. Requires that employers act as fiduciaries managing investment assets in the employee's best interests. B. Requires that employees act as fiduciaries managing investment assets in the employer's best interests. C. Guarantees pension assets or income when companies go bankrupt. D. Guarantees pension assets but not income when companies go bankrupt. E. None of the above. 6. Qualified plans are best defined as: A. Pension structures that are qualified to trade on major stock exchanges. B. Pension structures that require employees to qualify for participation through annual contributions to the pension. C. Pension structures that comply with established government regulations. D . Pension structures that require employees to qualify for participation through working for the employer for a prespecified period of time. E. None of the above. 7. A qualified plan that places an amount of money in the pension regularly is a: A. Defined benefit plan. B. Defined contribution plan. C. Qualified contribution plan. D. Qualified benefit plan. E. None of the above. This study source was downloaded by from CourseH on :23:57 GMT -06:00 8. A pension pla