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ABC company established a new retirement program for its employees.

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ABC company established a new retirement program for its employees. [#permalink]

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Question Stats:

86% (01:02) correct 14% (01:14) wrong based on 91 sessions

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ABC company established a new retirement program for its employees. This program would allow employees to have 15% of their salary deducted from their earnings for the next ten years. When the employee retires, the company program would then pay them 15% of the salary that employees would be earning at that time. Employees are encouraged to participate in this program.

Which of the following, if true, would be the most appropriate reason for people not to participate in the program?

a) Employees are unsure at what age they would retire.

b) If an employee places 15% of his salary in a savings account today for the next ten years, he will have more money available for retirement than if he participates in the program.

c) The increase in the company's future salaries is expected to rise at a much faster rate than the increase in the cost of living.

d) The company is contemplating increasing all its salaries next year.

e) The retirement plan would not be linked to the cost of living, which has been decreasing steadily over the past few years.

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Re: ABC company established a new retirement program for its employees. [#permalink]

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New post 24 Jan 2018, 22:24
according my analysis B is the answer.
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Re: ABC company established a new retirement program for its employees. [#permalink]

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New post 25 Jan 2018, 11:27
Undoubtedly (B) if some other plan is making the employees earn more than the proposed plan , any rational employee will definitely go for that (savings in this case)...
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Re: ABC company established a new retirement program for its employees.   [#permalink] 25 Jan 2018, 11:27
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ABC company established a new retirement program for its employees.

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