question 1 of 10 how are iras different from 401(k) plans? a. iras are defined - benefit plans. b. iras are…

question 1 of 10 how are iras different from 401(k) plans? a. iras are defined - benefit plans. b. iras are set up by individuals. c. iras are set up by employers. d. iras are defined - contribution plans.

question 1 of 10 how are iras different from 401(k) plans? a. iras are defined - benefit plans. b. iras are set up by individuals. c. iras are set up by employers. d. iras are defined - contribution plans.

Answer

Brief Explanations:

IRAs (Individual Retirement Accounts) are set up by individuals for their own retirement - savings. 401(k) plans are employer - sponsored retirement plans. Option A is incorrect as neither IRAs nor 401(k)s are typically defined - benefit plans. Option C is wrong since employers set up 401(k)s, not IRAs. Option D is not a distinguishing factor as both can be defined - contribution plans.

Answer:

B. IRAs are set up by individuals.