Divide 2 X 106 by 5 X 10-2 and Express

question 47

Multiple Choice

Divide 2 x 106 by 5 x 10-2 and express the answer in scientific notation.

• A)4 x 103
• B)4 x 106
• C)4 x 107
• D)4 x 10-2
• E)4 x 10-4

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Definitions:

Actuarially Determined Discount Rate

This refers to the interest rate used in the actuarial valuation to discount future pension obligations to present value, reflecting the expected rate at which the pension plan's liabilities can be funded or settled.

Pension Liability

The amount of money a company is required to pay into its employees' retirement plans in the future.

Accumulated Benefit Obligation

An estimate of the total amount of an employer's obligation for pension benefits earned by employees to date, not based on future salary increases.

Plan Assets

Assets specifically identified to fund the obligations of a pension or other employee benefit plan.