What effect did the requirement to replace the minimum liability requirement with the funded status of a pension plan have for underfunded pension plans?

Question

Quizplus · Accepted Answer

The requirement to replace the minimum liability with the funded status of a pension plan increased the recognition of pension liabilities on the balance sheet, which in turn increased the debt-to-equity ratios for underfunded pension plans.

What Effect Did the Requirement to Replace the Minimum Liability