Why this is mistaken
Wrong: Other postretirement benefit cost equals current claims paid.
Correction: Periodic cost uses the applicable service, interest, expected-return, amortization, and event components rather than cash claims alone.
Where to watch
When this mistake may appear
- A benefit-plan analysis treats this claim as true: Other postretirement benefit cost equals current claims paid.
Check your work
Your work may contain this mistake if:
- Other postretirement benefit cost equals current claims paid.