高顿网校小编真诚祝备战北美精算师的您生活愉快，身体安康，事业攀升！未来年薪百万！
　　Retirement Benefits
　　Comprehensive Segment
　　Morning Session
　　November, 2001- Course 8R
　　Society of Actuaries
　　**BEGINNING OF EXAMINATION**
　　MORNING SESSION
　　Questions 1 – 6 pertain to the Case Study
　　1. (7 points) NOC‘s cash requirements have increased considerably in 2001.
　　The CFO proposed to make, on June 30, 2001 a surplus withdrawal from the pension
　　fund of the National Oil Full-Time Salaried Pension Plan equal to the expected growth of
　　the surplus during 2001.
　　The CFO‘s model for determining the surplus withdrawal is:
　　? Surplus withdrawal = [Expected Surplus @ 1/1/2002] minus [Surplus @1/1/2001]
　　? Expected Surplus @1/1/2002 = [Expected Assets @1/1/2002] less [Expected
　　Liability @1/1/2002]
　　? Expected Assets @1/1/2002 = [Assets @1/1/2001] * [1 + expected return on the
　　fund]
　　? Expected Liability @1/1/2002 = [Liability @1/1/2001] * [1 + discount rate used to
　　determine the liability]
　　? The liability to be used is the projected benefit obligation determined under the
　　expense valuation
　　The investment managers provided the CFO with an expected return on the fund of
　　8.83%.
　　(a) Explain and calculate the effect of the CFO‘s proposal on the 2001 pension
　　expense, and year-end balance sheet liability. Treat the surplus withdrawal as a
　　negative contribution. Show all work.
　　(b) Critique the model proposed by the CFO.
　　COURSE 8: November 2001 - 2 - GO ON TO NEXT PAGE
　　Retirement Benefits
　　Comprehensive Segment
　　Morning Session
　　Questions 1 – 6 pertain to the Case Study
　　2. (11 points) NOC wants to introduce post-retirement indexing for participants in the
　　National Oil Full-Time Salaried Pension Plan. NOC is looking for a provision that is
　　relatively easy to administer and allows NOC to control cost in periods of high inflation.
　　You are given:
　　Participants
　　Years of
　　Service
　　Average
　　Years to
　　Vesting
　　Projected Benefit
　　Obligation (PBO)
　　as at 1/1/2001
　　Increase in PBO for 1%
　　per year indexing after
　　retirement
　　Active 0 to 3 4 $1,236,151 $75,000
　　Active 3 to 5 1 8,000,000 550,000
　　Active 5 or more - 446,500,000 31,000,000
　　Deferred vested - - 0 0
　　Pensioners - - 95,541,600 6,100,000
　　Total $551,277,751 $37,725,000
　　The service cost increases by 7% for each 1% per year indexing after retirement.
　　(a) Evaluate alternative approaches for indexing the National Oil Full-Time Salaried
　　Pension Plan.
　　(b) Describe how the plan’s asset allocation should change if NOC adopts automatic
　　indexation.
　　(c) Describe how NOC‘s actuarial assumptions may change if NOC adopts
　　automatic indexation.
　　(d) Explain and calculate the effect on the 2001 pension expense of providing
　　automatic indexation equal to 100% of CPI. Use the current actuarial
　　assumptions.
　　Show all work.
　　COURSE 8: November 2001 - 3 - GO ON TO NEXT PAGE
　　Retirement Benefits
　　Comprehensive Segment
　　Morning Session
　　Questions 1 – 6 pertain to the Case Study
　　跟生活的粗暴打交道，碰钉子，受侮辱，自己也不得不狠下心来斗争，这是好事，使人生气勃勃的好事。——高顿网校精品语录

 

 
扫一扫微信，关注精算师*7考试动态