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  1. business
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  3. which statement correctly identifies a benefit or

Which statement correctly identifies a benefit or a drawback of a company offering its employees...

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Accounting

Which statement correctly identifies a benefit or a drawback of a company offering its employees a pension plan compared to a retirement savings program with some employer matching of savings?

A. A company's obligation to an employee's retirement savings plan is met completely by the time the employee retires. A company maintains an annual obligation to an employee's pension until the former employee dies.
B. A company's obligation to an employee's pension is met completely by the time the employee retires. A company maintains an annual obligation to an employee's retirement savings plan until the former employee dies.
C. Pensions typically increase annually with cost-of-living-adjustments (COLAs), while the payout of a retirement savings plan will never have an annual increase.
D. A company can delay its costs for retirement savings until an employee retires, but it must make annual contributions to a pension fund during an employee's working years.

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