Schweser mock test 1 - Afternoon session

CFA Level II FRA
#1

Q77. Under IFRS, wouldn’t the actuarial loss be a part of periodic pension cost reported on P&L?

#2

no, actuarial losses/gains are reported under remeasurement, which is included in OCI

#3

Thanks

#4

And how to account for “employee contribution”?

#5

it’s part of contributions, added to the employer’s contribution

#6

So it reduces pension obligation? Are you sure?

#7

It increases plan asset value