Quiz 17.13 – Qualification Requirements for Pension Plans
Intermediate Accounting
Spiceland, Nelson, and Thomas
10th Edition
Which one of the following requirements is NOT necessary for a pension plan to be considered qualified?
Which one of the following requirements is NOT necessary for a pension plan to be considered qualified?
What is the term used to describe the process of allocating the cost of postretirement benefits to the years when those benefits are earned by employees?
What is the duration of the attribution period for postretirement benefits, and when does it start and end?
Which of the following periods is not included in the attribution period for postretirement health care plans?
What is the attribution approach required by GAAP for postretirement health care plans, and how is the cost assigned?
In an unfunded postretirement benefit plan with no changes in estimates, net loss or gain, or prior service cost, which of the following amounts does not increase with each additional year of service prior to full eligibility?
What is the usual annual cash payment for unfunded postretirement health benefit plans assuming they are not independently insured?
Mallory, Inc. reported a net loss of $12 million related to its postretirement benefit plan in its balance sheet on December 31, 2020. If the actuary increased her estimate of future healthcare costs at the end of 2021, what entry will Mallory make to record the effect of this change?
In a postretirement health care plan, from which date is the prior service cost attributed to the service of active employees?
Which of the following will not occur when recording the expense for postretirement benefits?