Asked by
Elham Dobrova
on Oct 28, 2024
Verified
Which of the following statements regarding postretirement benefits other than pensions is true?
A) A liability for postretirement benefits other than pensions is not required to be reported on the balance sheet.
B) The interest component of the net postretirement benefit expense is based on the accumulated postretirement benefit obligation (APBO) .
C) The interest component of the net postretirement benefit expense is based on the expected postretirement benefit obligation (EPBO) .
D) An intangible asset for other postemployment benefits (OPEB) is required to be reported on a company's balance sheet.
Postretirement Benefits
Benefits, such as healthcare and life insurance, provided by employers to their employees after they retire.
Accumulated Postretirement Benefit Obligation
This term refers to the total expected cost of providing postretirement benefits to employees, minus any funds set aside to cover these costs.
- Comprehend the pension plan's regulatory and reporting obligations as outlined by current Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS).
Verified Answer
SN
Learning Objectives
- Comprehend the pension plan's regulatory and reporting obligations as outlined by current Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS).
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