95 and does not want you to consider any Social Security benefits in his retirement income computation. If the return in the company's 401(k) plan is 10% annually, what monthly amount does William have to contribute to that plan for 10 years to meet his retirement income objective? a) S 556 b) S 747 c) $1,113 d) $2,000 41. What investment class is most suitable for the funding of a pension plan? a) Emerging market stocks b) Corporate investment grade bonds c) High Yield bonds d) Commodity futures 42. Which of the following allocations would be permitted in determining contributions to a profit sharing plan? Investment earnings allocated in proportion to relative account balances. 2) 1) Investment earnings allocated in proportion to relative compensation Employer contributions allocated in proportion to relative compensation. 3) 4) Employer contributions allocated in proportion to relative account balances. a) (1) and (2) only b) (1) and (3) only c) (2) and (3) only d) (2) and (4) only 43. Which one of the following is a feature of the F.E.R.S. for U.S. Civil Service employees? a) An employee is eligible to retire at age 55 with 30 years of service. b) An employee is eligible to retire at age 57 with 30 years of service. c) The plan exclusively uses a defined benefit approach. d) The plan features a survivor benefit of up to 55% of the initial unreduced Social Security benefit. 44. Per the "prohibited transaction rules" of ERISA, which one of the following is a disqualified party? a) A 5% shareholder b) A 5% proprietary owner c) The plan's investment advisor d) The employer's company accountant