1.Which of the following statements accurately describes a reason for the suitability of an asset...

Question

1.Which of the following statements accurately describes a reason for the suitability of an asset class in a qualified retirement plan portfolio? (Points : 3)

Mutual funds provide diversification and offer a competitive rate of return.
Money market investments provide liquidity and a high real rate of return.
Common stocks offer capital appreciation and are relatively low risk.
Bonds are useful for funding future fixed obligations and offer protection against inflationary pressures.

2.Joe (age 52) has just started a consulting company. He currently employs 6 people, who range in age from 22 to 31 years old. Joe estimates that the average employment period for his employees will be approximately 3 years and would like to implement a retirement plan that will favor older participants while including an appropriate vesting schedule. In addition, Joe would like the employees to bear the risk of investment performance within the plan. Which of the following plans is most appropriate for Joe's company? (Points : 3)

SEP plan
SIMPLE 401(k) plan
Target benefit plan
Cash balance plan

3.Which of the following retirement plans, maintained by an eligible employer, would also permit the employer to establish a SIMPLE IRA plan? (Points : 3)

Traditional Section 401(k) plan
Section 403(b) plan
Money purchase pension plan
Section 457 plan

005_ai1s5k-d3bl3s2c.docx

Robert · Accepted Answer

1. ___________ the return on a stock beyond what would be predicted from market movements alone. (Points :

1. Which of the following statements accurately describes a reason for the suitability of an asset class in a qualified retirement plan portfolio? (Points : 3) Mutual funds provide diversification and...

Solution

Answer To This Question Is Available To Download

Related Questions & Answers

Submit New Assignment