If the actual return on pension plan assets in a defined benefit plan exceeds the expected return, how is the difference treated?

A. The difference is recorded as a deferred loss

B. The difference is recorded as a deferred gain

C. The difference is recognized as a loss in the current period

D. The difference is recognized as a gain in the current period

When a company adopts a pension plan, how should the prior service costs be treated?

A. They should be charged to retained earnings.

B. They should be charged to operations of prior periods.

C. They should be charged to operating of the current period.

D. They should be charged to operations of current and future periods.