CMA Intermediate · Corporate Accounting and Auditing · Employee Benefits (Ind AS 19)

Appendix B to Ind AS 19 deals with the limit on a defined benefit asset and minimum funding requirements. Which combination correctly describes its scope and the issues it addresses?

Appendix B covers post-employment defined benefits and other long-term employee defined benefits. It addresses when refunds or reductions in future contributions count as available under the asset ceiling, how minimum funding requirements affect that availability, and when such a requirement might create a liability.

1. AIt applies to all employee benefits including short-term ones, and addresses how to measure share-based payments
2. BIt applies to all post-employment defined benefits and other long-term employee defined benefits, and addresses when refunds or reductions in future contributions are available and when a minimum funding requirement might give rise to a liabilityCorrect
3. CIt applies only to termination benefits, and addresses how a minimum funding requirement reduces the discount rate
4. DIt applies only to defined contribution plans, and addresses when refunds of contributions are taxable