The Projected Benefit Obligation Is the Measure of Pension Obligation

question 63

Multiple Choice

The projected benefit obligation is the measure of pension obligation that

• A) is the only allowable estimate for reporting the service cost component of pension expense.
• B) is not an allowable estimate for reporting the service cost component of pension expense for defined benefit plans.
• C) is one of several allowable estimates for reporting the service cost component of pension expense.
• D) can no longer be used under GAAP as an estimate for reporting the service cost component of pension expense

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