FASB ASC Topic 715 States That Prior Service Cost Should

question 20

Multiple Choice

FASB ASC Topic 715 states that prior service cost should be

• A) offset against current service cost.
• B) recognized in the period of plan adoption or amendment.
• C) amortized over the expected service period.
• D) recorded as a prior period adjustment.

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Definitions:

Disorders

Conditions characterized by abnormal physical or mental patterns that can affect various aspects of health, leading to distress or impairment in daily functioning.

Hysteria

An outdated term historically used to describe uncontrollable emotion or excitement, especially among women; now understood in terms of specific psychological disorders or reactions.

Biased Diagnosis

The presence of prejudice or partiality in making a medical or psychological diagnosis, potentially leading to incorrect or unfair treatment outcomes.

Tranquilizers

Tranquilizers are a class of drug used to reduce anxiety or induce sedation, often prescribed to treat anxiety disorders or sleep disturbances.