CFA Practice Question

There are 334 practice questions for this study session.

CFA Practice Question

Which of the following factors will not lead to an increase in the year-end value of a firm's Projected Benefit Obligation?
A. Interest costs as determined by the actuarial discount rate.
B. Service costs.
C. Benefits paid.
Explanation: Pension obligation is nothing more than a liability. And, like all liabilities, paying off an amount that is owed, reduces the liability by that exact amount.

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