F7/M2 Pension Benefits: Part 2

Question 1

Pension Plan Asset on Balance Sheet is always a non-current asset

Answer 1

True

Question 2

Reconciling Beginning Funded Status to Ending Funded Status

Answer 2

Beginning funded status
(+) Contributions
(-) Current Service Cost
(-) Interest Cost
(+) Expected return on plan assets
(-) Prior Service Cost Amendment
(+) Net Gains during current period
(-) Net losses during current period
Ending Funded Status

Question 3

Funded status must be presented on the Balance Sheet (Statement of Financial Position)

Answer 3

True; explained in notes to the financial statements