The Interest on the Projected Benefit Obligation Component of Pension

question 97

Multiple Choice

The interest on the projected benefit obligation component of pension expense

• A) reflects the incremental borrowing rate of the employer.
• B) reflects the rates at which pension benefits could be effectively settled.
• C) is the same as the expected return on plan assets.
• D) may be stated implicitly or explicitly when reported.

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Definitions:

Sperm

The male reproductive cells capable of fertilizing a female's egg to produce offspring.

Egg

The female reproductive cell or gamete in animals and plants; an ovum.

Vagina

A muscular tube connecting the external genitals to the cervix of the uterus in females, part of the reproductive system.

Menstrual Flow

The discharge of blood and tissue from the lining of the uterus that occurs in the absence of pregnancy.