Gains and Losses That Relate to the Computation of Pension

question 63

Multiple Choice

Gains and losses that relate to the computation of pension expense should be

• A) recorded currently as an adjustment to pension expense in the period incurred.
• B) recorded currently and in the future by applying the corridor method which provides the amount to be amortized.
• C) amortized over a 15-year period.
• D) recorded only if a loss is determined.

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Definitions:

Anterior Pituitary

A front part of the pituitary gland that produces and releases hormones which regulate various bodily functions.

Gonads

The reproductive organs: namely, in women the ovaries, and in men the testes.

Thymosin

A hormone that promotes the production of certain lymphocytes.

T Cells

A type of white blood cell that plays a central role in the body's immune response by attacking infected or cancerous cells.