Reporting for Defined Benefit Pension Plans Require Two Financial Statements

question 53

Multiple Choice

Reporting for Defined Benefit Pension Plans require two financial statements plus two schedules.What are the required statements?

• A) Statement of Revenues, Expenses, and Changes in Net Assets and Statement of Net Assets.
• B) Statement of Activity and Balance Sheet.
• C) Statement of Plan Net Assets and Statement of Changes in Plan Net Assets.
• D) None of the above.

---

Definitions:

Accounts Receivable

Amounts owed to a company by customers for goods or services provided on credit.

Inventories

Assets held for sale in the ordinary course of business, in the process of production for such sale, or in the form of materials or supplies to be consumed in the production process or in the rendering of services.

Depreciation Expense

The allocated portion of the cost of a tangible or physical asset that is charged as an expense over its useful life.

Operating Activities

Activities directly related to the business's primary operations, such as selling products or services, which are reflected in the company's cash flow.