Which of the Following Is/are True

question 173

Multiple Choice

Which of the following is/are true?

• A)An employer must recognize changes in the funded status of a defined benefit retirement plan on its balance sheet each period.
• B)U.S.GAAP and IFRS do not require the employer to recognize changes in the funded status of a defined benefit retirement plan immediately in net income.
• C)Changes in the net funded status of a defined benefit retirement plan because investment performance differs from expectations, or because of changes in actuarial assumptions, or in the retirement benefit formula, initially affect other comprehensive income.
• D)Firms amortize the amounts in Other Comprehensive Income over the expected period of benefit as an adjustment to retirement plan cost.
• E)all of the above

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Definitions:

Spending

The action of using money to purchase goods or services.

Spending

The act of using money to purchase goods or services.

Income

Funds obtained, often on a recurring schedule, as a result of work or investment profits.

Government Intervention

Actions taken by the government to influence the economy or society, ranging from regulations and taxes to subsidies and direct support.