Which One of the Following Assumptions Is Needed to Estimate

question 194

Multiple Choice

Which one of the following assumptions is needed to estimate both postretirement health care benefits and pension benefits?

• A) Per capita claims cost.
• B) Expected cost trend rate.
• C) Benefits provided by other governmental or private plans.
• D) Employee turnover.

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Definitions:

Cattle

domesticated bovine animals kept for milk, meat, or as draught animals.

Sugar Production

The process of growing sugar crops, particularly sugarcane and sugar beet, and extracting sugar for consumption and commercial use.

South American Country

Any sovereign state located on the continent of South America.

Española

A term that can refer to a female of Spanish descent or, geographically, to the island of Hispaniola in the Caribbean, shared by Haiti and the Dominican Republic.