The component of pension expense that results from amending a pension plan to give recognition to previous service of currently enrolled employees is the amortization of:

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The component of pension expense that results from amending a pension plan to give recognition to previous service of currently enrolled employees is the amortization of prior service costs. This is because the cost of providing benefits related to past service is recognized and amortized over the remaining service life of the affected employees. Amendment costs, retiree service costs, and transition costs are all separate components of pension expense that are recognized in different situations.

The Component of Pension Expense That Results from Amending a Pension