CFA Practice Question

There are 334 practice questions for this study session.

CFA Practice Question

A lower rate of compensation increase:
A. increases the VBO.
B. decreases the VBO.
C. does not affect the VBO.
Explanation: VBO is based on the current salary level.

User Contributed Comments 6

User Comment
ramdabom What is the VBO?
uviolet VBO= vested benefit obligation
janis36 I did not find these terms in this years study curriculum. Am I the only one to notice that the questions here on AnalystNotes and the material covered in books differs significantly?
didi janis36: it is just benefit obligation which is covered in section 2.2. Measuring a Defined Benefit Pension Plan's Obligations
akirchner1 VBO is briefly mentioned in the Notes section. of this year's curriculum.
gmsjam Very briefly I only saw it when I did a search of the e-book.
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