A feature we can use in Excel to calculate an effective rate of interest, given that we have 2 separate spot rates and 2 payments.
What is Goal Seek?
100
The effective monthly rate of interest for a nominal rate of 12% compounded monthly
What is 1%?
100
The two types of valuations we do.
What are Funding and Accounting?
100
Our in-house software for importing and cleaning up data, running liabilities, and then producing reports.
What is Quantify??????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????????
100
MRC means ___.
What is Minimum Required Contribution?
200
The calculation for the PV of $100 payable half a year from now at i=10%, assuming compound interest.
What is $100/((1.10)^.5))
200
Name 3 Demographic Assumptions that go in to our liability runs.
What are termination rates, mortality, retirement, disability, marriage percentage, and age difference?
200
The type of valuation done for auditors.
What is an accounting valuation?
200
The PV of benefits expected to be accrued in the current year.
What is Normal Cost?
200
The liability at age 45, given that the liability at age 65 = $15000, v^20 = .65 and 20p45 = .92.
What is $8970?
300
To convert the results of Excel's Financial Functions from "immediate" to "due", you multiply the results by this.
What is (1+i)?
300
Name 2 economic assumptions that go in to our liability runs.
What are increases in future pay, interest rate, interest crediting rate, increase in COL, increase in SSWB?
300
2 of the 3 questions to ask someone when they give you work.
What are "When is it due?", "How long should it take?", and "What is the Billing Code?"?
300
The FULL NAME of the law that basically created demand for our jobs.
What is the Employee Retirement Income Security Act of 1974?
300
The present value of accrued benefit based on current service and projected pay.
What is the Accrued Liability under the Projected Unit Credit method?
400
The annual effective rate of interest, given a nominal rate of 12% compounded monthly.
What is 12.68%?
400
Credited service is used in the benefit formula, whereas vesting service is typically used to determine ___.
What is Eligibility?
400
The two differences between a Cash Balance and a Stable Value Plan?
What are the sizes of the contributions and the ability to earn interest?
400
The general formula for rolling forward liabilities.
What is BOY Liabilities + Service Cost - Benefit Payments + Interest?
400
Explain what J&S 50 is.
What is a payment form that pays the retiree until death, and then pays an Alternate Payee 50% of the original benefit amount for life.
500
The interest rate that is referenced to calculate interest on retroactive annuity payments
What is the 30-year treasury rate from the November prior to the missed payments?
500
The formula for calculating interest in a liability roll forward.
What is ((BOY Liabilities + SC)*interest rate) - (Benefit Payments*interest rate*.5)?
500
The commonly used measure of how well funded a pension plan is.
What is AFTAP? (Adjusted Funding Target Attainment Percentage)
500
Name 3 stakeholders that want to see the Actuarial Valuations.
What are IRS/DoT, SEC, PBGC/DoL, Company Shareholders, Company Management, Employees, General Public?
500
The two types of Accounting Liability runs.
What are ASC 960 (for auditors) and ASC 715 (for general stakeholders)?