Use the following information for questions.
The following information is available for Figgy Enterprises Ltd.for calendar 2017.The corporation uses IFRS.
-The net defined benefit liability/asset that should be reported at December 31, 2017 is

Question

Use the following information for questions.
The following information is available for Figgy Enterprises Ltd.for calendar 2017.The corporation uses IFRS. 
-The net defined benefit liability/asset that should be reported at December 31, 2017 is

Quizplus · Accepted Answer

The net defined benefit liability/asset should be reported based on the fair value of plan assets and projected benefit obligations. The information provided in the question does not include these amounts, so we cannot calculate the net defined benefit liability/asset. Therefore, we cannot choose options A, C, or D. However, as the question states "net defined benefit liability/asset", we know that it should be reported as either a liability or an asset. Since we do not have any further information to suggest that the liability is less than the asset or vice versa, we can assume that the net defined benefit liability/asset is strictly an asset or liability. Therefore, the best choice is option B, as it is the only option that reports the net defined benefit as a liability.

Use the Following Information for Questions