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Options
- A
It is paid as an annuity
-
It is paid in lumpsum
Correct answer
- C
1/3rd of the gratuity is commuted and the rest used to purchase an annuity
- D
The gratuity is credited to the EPFO account each year
Why this is the answer
Gratuity is a one-time lump sum payment made directly to the employee upon retirement or termination, not as an ongoing annuity.
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