SFAS No. 87 required that projected benefits be used to measure pension expense, but it allowed companies

Question:

SFAS No. 87 required that projected benefits be used to measure pension expense, but it allowed companies to report a minimum liability on the balance sheet using accumulated benefits. The result was that financial statements were not articulated. For the following debate, relate your arguments to the conceptual framework, where appropriate.

Team 1: Argue in favor of articulation between the balance sheet and the in-come statement.

Team 2: Argue against articulation between the balance sheet and the income statement.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...