2017 AM Exam - 2B (Discount Rate and Duration)
I don’t think this is needed for full credit on the question, but anyways…
“Scenarios 1 and 2 would have no effect on the plan’s time horizon (these scenarios would, however, change the duration of the plan’s liabilities).”
How does increasing or decreasing the discount rate applied to plan liabilities impact duration?
Study together. Pass together.
Join the world's largest online community of CFA, CAIA and FRM candidates.