Ceiling Effects Can Lead To

question 54

Multiple Choice

Ceiling effects can lead to:

• A)large variance within groups.
• B)large variance between groups.
• C)small variance between groups.
• D)all participants performing poorly.

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Definitions:

Pension Expense

The cost recognized by an employer for maintaining a defined benefit pension plan for its employees over a given period.

Pension Funding

The process of setting aside financial resources to cover future pension benefits for employees.

Cumulative Gain

The total amount of profit earned over a period of time, adding together successive gains from operations or investments.

Corridor Threshold

A term used in pension accounting that refers to the allowable range in fluctuation in the value of pension assets or liabilities; amounts outside this corridor may require amortization to keep the pension's accounting measures stable.