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Which of the following statements concerning contributions to a profit-sharing plan is correct?
I. An employer can make a contribution to the plan whether or not there are any actual profits.
II. Most plans written today specify that the board of directors makes the decision each year whether or not to make contributions and how much to contribute.
III. The method for allocating the employer contribution among plan participants must be definite and predetermined.
A. I only
B. II only
C. III only
D. I and III only
E. I, II, and III
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This Generic Benchmarking Worksheet includes 2 examples of each major section of the assignment:
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