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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Curtailment and Amendment
sir will a curtailment ALWAYS lead to a reduction in defined benefit pension obligation?
and amendment ALWAYS lead to an increase in defined benefit pension obligation?
No. Either could go go either way.
But, read the question carefully and then post the double entry. It makes no difference whether it’s a curtailment or an amendment.
Sir how do we know that we are supposed to show journal entries?
I thought we only have to show double entries in Sec A Q1 and other questions in sec B ONLY IF SPECIFICALLY asked for.
That’s correct.
Normally you just need to EXPLAIN (unless asked for ‘adjustments’)
Obviously if the odd journal creeps in to a Section B answer, no one minds