All three funding approaches result in full funding of a pension plan over time.

Name: All three funding approaches result in full funding of a pension plan over time.
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Not all three funding approaches (pay-as-you-go, terminal funding, and advance funding) guarantee full funding of a pension plan over time. Pay-as-you-go, for example, relies on current payments to fund current benefits and may not accumulate assets to fully fund future liabilities.

All Three Funding Approaches Result in Full Funding of a Pension