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Basic Question 3 of 24

A higher discount rate:

A. increases the ABO.
B. decreases the ABO.
C. does not affect the ABO.

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I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt

Martin Rockenfeldt

Learning Outcome Statements

explain and calculate how adjusting for items of pension and other post-employment benefits that are reported in the notes to the financial statements affects financial statements and ratios;

interpret pension plan note disclosures including cash flow related information;

CFA® 2026 Level II Curriculum, Volume 2, Module 11.