FAPInJax Posted May 6, 2003 Posted May 6, 2003 Just when I thought it was completely understood<GGGG>. The ARA reduces the PVB for certain funding methods when determining normal costs under 412. This adjustment is for methods which produce bases to maintain the equation of balance. Is the ARA recognized at all in the determination of the Additional Funding Charge? There is no equation of balance (per se), although there may be amortization bases, and therefore I would think it would be ignored. Thanks for any and all commentary. P.S. I tried to anticipate Mike Preston and look back at my old actuarial meeting stuff back to 1994 but did not find anything specifically stating to use or ignore the ARA.<GGGGG>.
Blinky the 3-eyed Fish Posted May 9, 2003 Posted May 9, 2003 The ARA is not factored in any 412(l) calculations. "What's in the big salad?" "Big lettuce, big carrots, tomatoes like volleyballs."
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now