Huggins Company Has the Following Information at December 31, 2011

question 32

Multiple Choice

Huggins Company has the following information at December 31, 2011 related to its

The amount of pension asset \ liability Huggins Company would recognize at December 31, 2011 is

• A)Pension liability of $300,000.
• B)Pension asset of $1,000,000.
• C)Pension liability of $200,000.
• D)Pension asset of $200,000.

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Definitions:

Back Weld

A welding technique where a weld is applied on the opposite side of a previously welded joint to ensure strength and integrity.

Backing Weld

A type of weld applied to the root of a joint for ensuring complete root penetration and to support molten weld metal.

Double-Groove Joint

A type of joint where two parallel grooves are made on each piece of material to be joined, typically used in welding for increased strength.