Question: Which of the following is a characteristic of a defined benefit retirement plan?
I. The plan specifies the benefit an employee receives at retirement.
II. The plan has less predictable costs for the employer as compared to defined contribution plans.
III. The plan assigns the risk of pre-retirement inflation, investment performance, and adequacy of retirement income to the employee.
A. I only
B. II only
C. III only
D. I and II only
E. I, II, and III