Which of the Following Statements Is True Concerning Prior Service

question 80

Multiple Choice

Which of the following statements is true concerning prior service cost?

• A) Prior service costs are the costs of retroactive benefits.
• B) Prior service cost is reported as a liability at the date of the plan amendment.
• C) Prior service cost is reported as a negative element of other comprehensive income at the date of the plan amendment.
• D) All of these answer choices are correct.

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