Ask Question
BusinessBusiness
24 April, 08:10

A pension asset is reported when: a. the accumulated benefit obligation exceeds the fair value of pension plan assets.

b. the accumulated benefit obligation exceeds the fair value of pension plan assets, but a prior service cost exists.

c. pension plan assets at fair value exceed the accumulated benefit obligation.

d. pension plan assets at fair value exceed the projected benefit obligation.

+3
Answers (1)
  1. 24 April, 09:51
    0
    C) pension plan assets at fair value exceed the projected benefit obligation.

    Explanation:

    Pension plan assets include the cash and all the investments in securities (stocks, bonds, etc.) that your plan will use to pay for future benefits once you retire. If the investments gained a lot of value (specially the stocks), their fair market value might be higher than the projected future obligations. This means that your plan has more than enough money to cover your benefits once you retire.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “A pension asset is reported when: a. the accumulated benefit obligation exceeds the fair value of pension plan assets. b. the accumulated ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
In December 1999 people feared that there might be computer problems at banks as the century changed. Consequently, people wanted to hold relatively more in currency and relatively less in deposits.
Answers (1)
The next model of a sports car will cost 12.3% more than the current model. the current model costs $52,000. how much will the price increase in dollars? what will be the price of the next model?
Answers (1)
Aime goes to the supermarket to buy lotion. She always buys the same brand, so she knows exactly what the bottle looks like. Jaime is in a hurry, so she grabs what she thinks is her usual lotion and checks out.
Answers (1)
In his book naked economics, charles wheelan discusses the falling birth rate in industrialized countries like japan and the united states.
Answers (2)
Why does emotional hijacking occur? a. People are hard-wired to feel emotions about a situation before they reason it out. b. People spend too much time developing self-awareness, so they become overly emotional. c.
Answers (1)
New Questions in Business
Pettit Company reports net income of $90,000 in 2019. However, ending inven - tory was understated $7,000.
Answers (1)
Which industry, more than any other, brought the West into the global economy of capital, commodities, and labor?
Answers (1)
During Year 1, its first year of operations, Galileo Company purchased two available-for-sale investments as follows: Security Shares Purchased Cost Hawking Inc. 750 $33,375 Pavlov Co.
Answers (1)
Mployee theft of inventory from the warehouse because there are no restrictions on warehouse access and the client does not reconcile inventory on hand to recorded amounts on a timely basis.
Answers (1)
Peter was hired as an external consultant to review the streamlining of production processes at a company. In his final report, he suggested that the company should use specialization of labor. What would be the benefit of Peter's suggestion? A.
Answers (1)
Home » Business » A pension asset is reported when: a. the accumulated benefit obligation exceeds the fair value of pension plan assets. b. the accumulated benefit obligation exceeds the fair value of pension plan assets, but a prior service cost exists. c.
Sign Up Forgot Password?