Acc&BM: Unit1 Quiz Review

A company has to make 350,000 vases for a contract they have this year. If each employee can make 7 vases a day and they work 5 days a week, how many employees are needed to meet the contract goal?

• 35

• 1820

• 192

• 193

401k plans are retirement plans that are named after section 401k in the Internal Review Code

• True

• False

Once you start a new job, you are automatically enrolled in a 401k Plan and you receive employer matching.

• True

• False

Your 401k has a guaranteed positive return on investment (meaning, you will always get positive returns).

• True

• False

You are allowed to withdraw money from your 401k at any time without penalty.

• True

• False

All companies match your 401k contribution dollar for dollar.

• True

• False

After what age does the early withdrawal penalty of a 401k plan no longer apply?

• 35

• 45

• 55

• 59 1/2

What is a Company Sponsored 401k?

• A government-provided healthcare plan.

• A retirement savings plan offered by employers.

• A personal investment portfolio.

• A college savings plan for children.

What might an employer do with your contribution to a 401k plan?

• Take a percentage as a service fee.

• MATCH your contribution.

• Invest it in the company's stock exclusively.

• Return it at the end of the fiscal year.

How are contributions made to a Company Sponsored 401k plan?

• By direct cash payments from the employee.

• Through automatic deductions from the employer's profits.

• Your employer deducts $ from your paycheck & puts into your 401k account.

• Through yearly tax returns.