Question: Which of the following is correct regarding difference(s) between defined benefit (DB) plans and defined contribution (DC) plans? a. Forfeitures may be used to cover

Which of the following is correct regarding difference(s) between defined benefit (DB) plans and defined contribution (DC) plans?

a.

Forfeitures may be used to cover plan costs or allocated to employee retirement accounts in DC plans, but may only be used to cover plan costs in DB plans.
b.

A DC plan allows credit to be given to employees for prior service earned before the plan is established; a DB plan does not.
c.

The employer bears investment risk in a DC plan; investment risk remains with the employee in a DB plan.
d.

Assets in a DB plan are held in separate accounts, whereas assets in a DC plan are commingled.

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