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Marcia works for Telephonic Industries and participates in its supplemental retirement plan. In years when the firm has no profit, the firm is not required to contribute to the supplemental retirement plan. This plan is a _________.

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Answer:

The correct answer is:  Profit-Sharing Plan.

Explanation:

A Profit-Sharing Plan or Deferred Profit-sharing Plan (DPSP) is the type of retirement plan by which employers give employees a percentage of the company's profits according to the quarter or annual earnings. The amount of the profits destined to be provided to the employers (if any) is determined by the company only.

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