11. Which of the following is a use of funds for Life insurance companies A. Premiums from life insurance policies B. Premiums from Health insurance LC. Investments in Corporate debt securities D. None of the above 12. Which of the following is a defined benefit retirement plan A. An employee works for a company for 30 years and retires with 50% of his last years earnings. B. An senator serves 2 6 year terms and retires with 30% of the average of his highest three years salary. C. An employee contributes the maximum allowed for 30 years into his 401K and retires with $1,000,000. D. Both A and B above 13 Which of the following is a defined contribution plan. A. An employees company will fully match the employees contribution in their 401k up to 6% of their earnings. B. After working 40 years a company retirement will pay 75% of your top 5 years earnings average. C. Your retirement at your new state job will be based on 2.5% of your earnings per year of employment D. None of the above 14. Which of the following is significant cause of underfunded public pension plans? A. Overestimated rate of return on the retirement funds investment B. To many employees' in the fund C. Early retirements D None of the above 15. Possible solutions to solve the public funded pension plans are A Issue bonds, bribe trustees, more aggressive investments, revise benefits, or increase taxes to properly fund. B. Issue bonds, pay excess benefits, more aggressive investments, revise benefits, increase taxes to properly fund. C Issue bonds, hold officials accountable, more aggressive investments, revise benefits, increase taxes to properly fund. D. Issue bonds, bribe trustees, more aggressive investments, revise benefits, of shift to defined contribution 16. Most mutual funds are open ended. That means A. The amount you can invest is unlimited B. Investors can buy into them at anytime. C. A and B above D. None of the above