JL Health Services Reported a Net Loss-AOCI in Last Year's

question 161

Multiple Choice

JL Health Services reported a net loss-AOCI in last year's balance sheet. This year, the company revised its estimate of future salary levels causing its PBO estimate to decline by $24. Also, the $48 million actual return on plan assets was less than the $54 million expected return. As a result:

• A) The statement of comprehensive income will report a $6 million gain and a $24 million loss.
• B) The net pension liability will increase by $18 million.
• C) Accumulated other comprehensive income will increase by $18 million.
• D) The net pension liability will decrease by $24 million.

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A geological formation through which magma, ash, and gases from the Earth's interior are expelled to the surface.

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