A Company Has Pension Plan Assets with a Fair Value

question 128

Multiple Choice

A company has pension plan assets with a fair value of $9 million.The accumulated benefit obligation for pensions is $10 million and the projected benefit obligation for pensions is $15 million.What pension liability is reported on the balance sheet?

• A)$1 million
• B)$6 million
• C)$10 million
• D)$15 million

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Definitions:

Environmentally Related Activities

Actions or operations by organizations or individuals that have a direct impact on the natural environment.

Trade-Offs

Decisions involving a sacrifice of one goal or value in order to obtain or prioritize another, often in the context of limited resources.

Programs

Planned series of events, activities, or operations aimed at achieving specific goals or outcomes.

Sustainability

The practice of meeting current needs without compromising the ability of future generations to meet their own needs, often focusing on environmental, economic, and social factors.