Examlex
The quality of consistency is a type of
Projected Benefit Obligation
An estimate of the total amount an entity is obligated to pay in pension benefits, based on expected future salary increases.
Discount Rate
The interest rate used to discount future cash flows to present value, often used in the calculation of net present value or investment appraisals.
Service Cost
The portion of the expense of a pension plan that is attributed to the increase in pension benefits due to employee service in the current period.
Interest Cost
The cost incurred by an entity for borrowing funds, typically calculated as the interest rate times the principal amount of the debt.
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