Area of great activity and concern.
- Active on FASB agenda many years.
- FASB #87, #88 supersede APB #8, FASB # 36, and FASB interpretation #3.
FASB has determined that accrual accounting is to be followed.
- Pension cost of the period should not depend on the amount of funding.
Statements were a long time in development
- Conflict still continues.