Which of the Following Pension-Related Definitions Is Not Correct

question 36

Multiple Choice

Which of the following pension-related definitions is not correct?

• A)Vested benefits are payments that are not contingent on the employee's continuing in the service of the employer.
• B)Present value is the current worth of an amount or amounts payable or receivable in the future.
• C)Actuarial assumptions are those made by actuaries concerning future events affecting pension costs.
• D)Service cost is the amount paid annually to a funding agency under an unfunded pension plan.

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Definitions:

Sphygmomanometer

A device used to measure blood pressure, consisting of an inflatable cuff to restrict blood flow and a manometer to measure the pressure.

Mercury

A chemical element with the symbol Hg and atomic number 80, known for its use in thermometers, fluorescent lighting, and dental amalgams.

Aneroid

Refers to a type of barometer that measures air pressure without using liquid.

Dehydration

A condition resulting from excessive loss of body water, affecting bodily functions.