备战的孩儿们，你们身在何处呢？考试的*7复习资料由高顿网校[*{7}*]发布哦——北美精算师2014年7月：SOA真题珍藏November2004Course8RU（2）。
　　6. (12 points) NOC is proposing the following changes to the Retiree Health Benefit
　　program of its salaried employees:
　　? Effective January 1, 2004, the program will be closed to new employees;
　　? Salaried employees with less than 20 years of service at January 1, 2004 who
　　do not retire before January 1, 2005 will not be eligible for the benefit after
　　that date; and
　　? For all other salaried employees, effective January 1, 2005, the portion of the
　　premium paid by the program will be in accordance with the following
　　schedule:
　　Years of Service at
　　Retirement
　　Plan Retiree/Spouse
　　20-24 50% 50%
　　25-29 75% 25%
　　30+ 100% 0%
　　NOC wants an analysis of the proposed changes, in respect of the following
　　groups of employees:
　　? Group A – the salaried employees who are currently eligible for the
　　benefits but who lose the benefits if they do not retire in the next year;
　　? Group B – the salaried employees other than those in Group A who are no
　　longer eligible to receive benefits under the program;
　　? Group C – the salaried employees who are eligible, under current
　　assumptions, to receive reduced benefits under the program; and
　　? Group D – the salaried employees not affected by the proposed changes.
　　(a) (7 points) Based on the age and service distribution of the NOC Full-Time
　　Salaried Pension Plan at January 1, 2004, estimate the number of salaried
　　employees in Groups A, B, C and D. Identify any assumptions you used
　　in your estimate.
　　(b) (3 points) Describe any special accounting treatments that are applicable
　　for Groups A, B, C and D.
　　(c) (2 points) Describe the consequences to NOC of the proposed changes.
　　**END OF EXAMINATION**
　　MORNING SESSION
　　COURSE 8: Fall 2004 - 6 - GO TO NE
　　XT PAGE
　　Retirement Benefits,
　　Comprehensive Segment – U.S.
　　Afternoon Session
　　**BEGINNING OF EXAMINATION 8**
　　COMPREHENSIVE SEGMENT – U.S.
　　AFTERNOON SESSION
　　Questions 7 – 9 pertain to the Case Study
 
　　7. (8 points) Your client NOC is budgeting for fiscal year 2005 in June of 2004.
　　They have asked you to estimate the fiscal year 2005 pension expense for the
　　National Oil Full-Time Hourly Union Pension Plan.
　　You are given (all numbers in $000’s):
　　Projected Benefit Obligation at January 1, 2004 with 6% discount rate = 560,919
　　Service Cost at January 1, 2004 with 6% discount rate = 27,169
　　2005 Estimated Employer Contributions = 38,000
　　2005 Estimated Benefit Payments = 12,100
　　(a) Describe the considerations for selecting the return on assets during 2004
　　and the discount rate for 2005 for budgeting purposes.
　　(b) Estimate the 2005 pension expense using a discount rate of 6% and
　　assuming no other gains or losses.
　　(c) Describe and estimate the effect of a change in the economic environment
　　on each component of your estimate of the 2005 pension expense.
　　COURSE 8: Fall 2004 - 7 - GO TO NEXT PAGE
　　Retirement Benefits,
　　Comprehensive Segment – U.S.
　　Afternoon Session
　　Questions 7 – 9 pertain to the Case Study
　　. (12 points) The Vice-President of Human Resources of NOC (VP of HR) is concerned
　　about the increased level and volatility of the National Oil Company Full-Time Salaried
　　Pension Plan costs over the past few years.
　　The VP of HR has proposed the following new cash balance design:
　　? Interest rate credit: 6% per annum
　　? Annual contribution credit: 5% of earnings
　　You are the actuary for NOC and have been hired by the VP of HR to assist with
　　implementing the new plan design. For purposes of this question, assume that
　　regulations governing pension plan benefits in Vosne are identical to those in the United
　　States.
　　(a) Identify the key plan design features that will need to be addressed in the
　　proposed design pertaining to retirement and ancillary benefits.
　　(b) Propose two options for transitioning current plan participants to the new design.
　　(c) Describe the effect that each of your proposed options is expected to have on the
　　benefits of current participants.
　　(d) Describe the effect that each of your proposed options is expected to have on the
　　2004 expense.
　　COURSE 8: Fall 2004 - 8 - STOP
　　Retirement Benefits,
　　Comprehensive Segment – U.S.
　　Afternoon Session
　　Questions 7 – 9 pertain to the Case Study
 
　　9. (10 points) Vosne is proposing the introduction of a defined contribution (DC) social
　　insurance program (SIP) effective January 1, 2004. Benefits would be funded by
　　employee and employer contributions, as follows:
　　? Employees and employers both contribute 5% of pay on earnings up to $45,000 (the
　　“Wage Base”).
　　? The Wage Base changes in line with changes in the average wage in Vosne.
　　? Contributions are invested at the direction of the employees by privately managed
　　investment companies selected by Vosne.世纪考试网版权所有
　　? Account balances are available to provide death, disability and retirement benefits.
　　? Account balances must be used to purchase annuities no later than age 65.
　　(a) Describe the challenges that other countries with DC based social insurance
　　systems have faced.
　　(b) Recommend changes to the proposed program. Justify your recomm
　　endation.
　　(c) In order to maintain an employee’s total benefit (DC SIP plus current plan) at a
　　level equivalent to that provided under the current salaried plan provisions, the
　　CFO of NOC is proposing to amend the National Oil Full-Time Salaried Pension
　　Plan benefit to 0.5% of best average earnings up to the Wage Base, plus 2.0% of
　　best average earnings in excess of the Wage Base.
　　Critique this proposal.
　　**END OF EXAMINATION**
　　AFTERNOON SESSION
　　高顿网校之名人心语：孩子和母亲之间溢着深深的、真切的、不尽的爱。这种爱才是孩子和母亲永恒的精神支柱和我们民族生存的真正价值。