11.

The following data are for Guava Company's retiree health care plan for the current calendar year.

Number of employees covered	5
Years employed as of January 1	4 (each)
Attribution period	20 years
EPBO, January 1	$60,000
EPBO, December 31	$63,000
Interest rate	5%
Funding and plan assets	None

What is the interest cost to be included in the current year's postretirement benefit expense?

a) $470

b) $600

c) $630

d) $3,000