1. Lee & Li, a business consulting firm, wants to attract and keep highly ambitious employees who work hard and want to advance in their careers. Which of the following benefits would especially appeal to this type of employee?
a. a 529 savings plan
b. a defined-benefit pension plan
c. a generous vacation policy
d. a health maintenance organization
e. tuition reimbursement
2. The financial statements of XCorp include income statements that detail its earnings and expenses. Accounting requirements include setting aside funds that will be needed to pay for retirement benefits. How does that requirement affect the numbers on XCorp’s income statement?
A. meeting the requirement raises the reported value of the company’s assets
B. meeting the requirement raises the company’s stock value
C. meeting the requirement lowers the company’s stock value
D. meeting the requirement lowers the company’s reported operating expenses
E. meeting the requirement lowers the company’s reported income