Magenta, Inc. is an ESOP-owned company with three employees: Marilyn, age 62 , who has oarticipated in the plan for 21 years; Max, age 38 , who has participated in the plan for 11 years; and Mel, age 28, who has participated in the plan for seven years. Which of the following correctly lescribes Magenta, Inc.'s obligation to permit any of its employees to diversify his or her account? Magenta, Inc. must permit Marilyn and Max to diversify their accounts because they have both participated in the plan for over 10 years. Magenta, Inc. is not required to permit any of its employees to diversify his or her account. Magenta, Inc. must permit all three employees to diversify their accounts because all three are vested. Magenta, Inc. must permit only Marilyn to diversify her account because she has participated in the plan for over 10 years and is over age 55 . Glover, Inc. has 325 employees ( 300NHC and 25HC ). Of these employees, 300 are nonexcludable (275 NHC and 25HC ). If 208 of these NHC are covered under Glover's qualified profit sharing plan and 25 of these HC are covered under Glover's qualified profit sharing plan, with certainty, which of the following tests does Glover pass? Ratio Percentage Test Average Benefits Test Safe Harbor Test Both the Safe Harbor Test and the Ratio Percentage Test Which of the following is NOT an employer disadvantage of an ESOP? The financial burden of the "put" option Lack of diversification Dilution of ownership Periodic appraisal costs