The interest on the projected benefit obligation component of pension expense:__ a. reflects the incremental borrowing rate of the employer.
b. reflects the rates at which pension benefits could be effectively settled.
c. is the same as the expected return on plan assets.
d. may be stated implicitly or explicitly when reported.

Suppose you purchase shares in acme gadget company for $10 per share. the company believes there is a 20 percent chance it will fail to earn a discounted future profit of $1.85. what is the expected rate of return on your investment? suppose you purchase shares in acme gadget company for $10 per share. the company believes there is a 20 percent chance it will fail to earn a discounted future profit of $1.85. what is the expected rate of return on your investment?