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An Analyst Is Reviewing the Financial Statements of a Company

Question 56

Multiple Choice

An analyst is reviewing the financial statements of a company and notices that the company reports a pension plan asset on its balance sheet.What does the pension plan asset represent?


A) The market value of all pension plan assets.
B) The amount of next year's pension expense that has been prepaid.
C) The current year's contributions to the pension.
D) The difference between the pension plan obligations and the pension plan assets.

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