Which of the following is true of defined contribution plan?
A. It makes the employer accountable for the risks associated with changes in inflation and interest rates.
B. It does not require managing of surplus or deficit in pension fund.
C. It provides an explicit benefit which is easily communicated.
D. It is more favourable to long-service employees.
E. It does not make employer costs known.
Answer: B
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Indicate whether the statement is true or false