So, I think to adjust operating income, we would do (given operating income)+(reported pension expense-service costs)?
Why are service costs backed out here? If service costs were super higher and exceeded reported pension expense in a given period, does that just represent the fact that current plan service costs were high for some 1-off reason like options were exercised or something?
What is the ‘line item’ that goes on the income statment? I thought it was just the ‘reported pension expense’, but are there multiple line items on the income statement to separate out the different pension plan expenses?
thnx