what is the major difference and the major similarity between the vested benefit obligation and the defined beenfit obligation?

Q: What do the allowable deductions include?

A: Tax: Tax refers to a compulsory payment or a contribution to the state revenue, levied by the…

Q: What are the fundamental differnces between lessor and lessee?

A: Lessor is the person who has the ownership of the leased asset and grants on lease his asset for a…

Q: What are the quantitative disclosures that must be done by lessee?

A:

Q: Explain the difference between defined-benefit and defined-contribution plans?

A: Solution:- Pension plans are to provide a security to the retiring employees after their retirement.…

Q: A Defined Benefit Plan is a plan

A: There are several benefit plans available for the benefit of the employees working in different…

Q: What is the quantitative disclosure of lessee?

A: Lease Agreement:   It is a contract between the owner of the asset (lessor) and the person who uses…

Q: Discuss the difference between an unrealized holding gain and a realized gain.

A: The gain is the excess of revenue earned over the expenses incurred.

Q: Describe the Rights of the Surety.

A: A surety is a person or entity that takes on the risk of another party defaulting on their debts or…

Q: circumstances where the agent is granted compensation ?

A: The agents are appointed to perform or execute the functions on behalf of the principles, their…

Q: how do compute thesocial security taxable earnings?

A: Federal income taxes (FIT) are imposed in USA. Tax is calculated by applying tax rates which…

Q: Contrast the constructive receipt doctrine with the claim of right doctrine.

A: As per the constructive receipt doctrine, a tax payer is required to pay taxes on income even if the…

Q: Which of the following statements is not correct about defined contribution plans?

A: The defined contribution plan shows the retirement benefit to the employees of the company. The…

Q: Differentiate between the accumulated benefit obligation and the projected benefit obligation.

A: ABO (Accumulated benefit obligation) and PBO (Projected benefit obligation) are similar in most of…

Q: What is the vested benefit obligation?

A: Pension Obligation: It refers to the commitment provided by the employer to pay its employees, the…

Q: Distinguish among the vested benefit obligation, the accumulated benefit obligation, and the…

A: Vested benefit obligation (VBO) VBO is obtained as the present value of the benefit obligation which…

Q: Which of the following are the rights of agents: A Right of subsidy; right of support B Right of…

A:

Q: What is the difference between equity of redemption and statutory redemption?

A: The difference between equity of redemption and statutory redemption are:

Q: Discuss the primary differences between U.S. GAAP and IFRS with respect to accounting for…

A: Under IFRS, defined benefit plan assets are valued at fair value. Under U.S. GAAP, defined benefit…

Q: What is a defined benefit postretirement plan?

A: Pension plan:   This is the plan devised by corporations to pay the employees a kind of compensation…

Q: What is nonpecuniary benefits?

A: The benefits which are not in monetary form are called as Non Pecuniary benefits. The notion that…

Q: What is the difference between simple and compound interest? Give examples.

A: Simple interest: It is the interest calculated on the principal of the loan and the account holder…

Q: What us your understanding Joint Liability?

A: The answer is provided as follows:

Q: They are the Defined Contribution Plans and Defined Benefit Plans. What are the distinct differences…

A: Retirement plans are segregated into 2 plans Defined Benefit Plan (DBP) Defined Contribution Plan…

Q: Define Vested benefits.

A:

Q: Describe the major difference and the major similarity between the vested benefit obligation and the…

A: Differences:   The actual present value obligation of the pension that is payable to the employee is…

Q: What is Joint Liability?

A: The answer is provided as follows:

Q: According to PAS 19, how are other long-term benefits accounted for?

A: Philippine Accounting Standards (PAS) are the set of accounting standards based on the International…

Q: how is it possible that the avoidable interest can exceed the actual interest

A: Interest Cost: The cost charged on the borrowings financed by the lender to the company is known as…

Q: what is State indebtedness

A: Any obligations and liabilities for borrowed money created, issued, or incurred by the Purchased…

Q: What is the definition of “holding gain or loss”?

A: Gains: Gains are the profits earned from non-operating activities of a business like sale of land,…

Q: How do defined-benefit plans differ from defined contribution plans?

A: For long, pension has been taking care of post-retirement needs of a large section of retirees.…

Q: What is the difference between a contribution- and a benefit-orientedretirement plan?

A: Defined contribution plan is a retirement plan which gives an option for the employees to grow tax…

Q: Which of the following does not increase the Projected Benefit Obligation?   Actuarial loss on…

A: Solution: Following would increase the projected benefit obligation: 1. Actuarial loss on benefit…

Q: characteristics of the contract of pledge?

A: Answer: Contract of pledge can be defined as the contract that is established between the parties…

Q: Which are the terms and condition on CONTRACT FOR FUTURE DEED?

A: Contract for future deed is an agreement which provides for the finance by the seller for the sale…

Q: hat is the difference between simple interest and compound interest?

A: The difference between simple interest and compound interest is as follows-

Q: What are the key elements of the definition of ‘fair value’? Explain the effects of inclusion of…

A: Fair value is the price that would be received to sell an asset or paid to transfer a liability in…

Q: determine

A: Most truthful price  measurements utilize one among3 approaches to determinant truthful value:…

Q: Define the term Effective interest?

A: Interest is the cost charged on amount lent to a borrower by a lender for use of his assets i.e.…

Q: The measurement of defined benefit cost is usually made by a trustee.  True or false?

A: Defined-benefit plan: It is an Employer-Sponsored Retirement Plan in which employee benefits are…

Q: allowable deduction?

A: Definition : Deductions under income tax: Deductions are allowed on taxable income of the…

Q: Define each of the following terms:a. Lessee; lessor

A: Lessee is a person who holds lease of a property or he is the person who has given  the property On…

Q: What is lessee?

A: Lessee: It is term used for any person who has rented any land-property from someone else. That is…

Q: How is the Accumulated Benefit Obligation (ABO) different from the Projected Benefit Obligation…

A: The value that is used for the compensations of the employees is the only difference between the…

Contingent Liabilities and Provisions

A contingent liability can be defined as a liability the occurrence of which is dependent upon the happening of an uncertain future event. It is generally recorded in the books only when the amount of liability can be reasonably estimated and the contingency is likely to occur shortly.