Amortizing Prior Service Cost for Pensions and Other Postretirement Benefit

question 76

Multiple Choice

Amortizing prior service cost for pensions and other postretirement benefit plans will:

• A) Decrease retained earnings.
• B) Increase assets.
• C) Decrease assets.
• D) Decrease shareholders' equity.

---

Definitions:

Logarithmic Equation

An equation involving logarithms of variables or constants, which can often be solved by using properties of logarithms.

Ln

The natural logarithm, which is the logarithm to the base \(e\), where \(e\) is an irrational and transcendental constant approximately equal to 2.71828.

Expression

A combination of symbols and numbers in mathematics that represents a quantity or relationship but does not include an equality sign.

Logarithmic Equation

A logarithmic equation is an equation that involves the logarithm of an expression equal to a value.