✦ LIBER ✦
Postretirement health benefits: Do your trend rate estimates significantly affect postretirement costs and reported net income?
✍ Scribed by Gale E. Newell; Sheldon A. Langsam; Jerry G. Kreuze
- Publisher
- John Wiley and Sons
- Year
- 1997
- Tongue
- English
- Weight
- 494 KB
- Volume
- 8
- Category
- Article
- ISSN
- 1044-8136
No coin nor oath required. For personal study only.
✦ Synopsis
How important is the accuracy of your health care cost trend estimates? For most companies, the difference between the assumed health care cost trend rate and the actual increase may not largely affect postretirement cost and reported net income. But the authors found that for some companies the variation in rates can have significant impact. The authors believe that the FASB should consider providing companies with estimated health care cost trend rates.
n 1991, the Financial Accounting Standards Board (FASB) issued Financial Accounting Standard (FAS) No. 106,