Which of the following is true of pension termination?
a. Companies can terminate a pension plan whenever they wish to do so.
b. Terminating a pension plan is illegal in U.S.
c. A company must start a new defined benefit plan after it eliminates the old one.
d. FASB requires recognition in earnings of a gain or loss when a pension obligation is settled.
Answer: FASB requires recognition in earnings of a gain or loss when a pension obligation is settled
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