Why Fix Something that Isn’t Broken? The FASB’s study of pension accounting for employers

Why Fix Something that Isn’t Broken?

The FASB’s study of pension accounting for employers generated considerable interest among business executives. During the extended discussion period, pressure was brought to bear on the FASB by several individuals and the companies they represented to leave pension accounting alone. These business executives believed that the existing standard (APB Opinion No. 8) was adequate and that further tinkering with the pension provisions was unnecessary. What are some of the factors that caused the FASB to “hold on to” the pension issue until a standard was released?

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