Which of the following is not an actuarial assumption underlying the computation of the pension obligation?
A)Employee turnover
B)Life expectancy
C)Interest rate
D)Service cost

Question

Quizplus · Accepted Answer

The service cost is not an actuarial assumption but rather the portion of the present value of benefits attributable to employee service in the current period. Employee turnover, life expectancy, and interest rate are all actuarial assumptions that are used to calculate the projected benefit obligation.

Which of the Following Is Not an Actuarial Assumption Underlying