True or False? 2. Three elements of pension expense for defined benefit plans are: service cost,interest cost, and actual return on plan assets. 3. If a company increases its expected rate of compensation increase for the purposes of calculating its pension obligations, the accumulated benefit obligation and the projected benefit obligation will both increase. 4. When analyzing postretirement benefits, one should evaluate the actuarial assumptions and their effects on the financial statements. 5. Actuarial gain or loss is the change in PBO that occurs when one or more actuarial assumptions are revised in estimating PBO. 6. Companies must report the economic pension cost in their financial statements. 7. Companies report the funded status of pension plans as a separate line item on the balance sheet 8. An increase in the pension obligation because of passage of time is referred to as the interest cost. 9. Pension risk arises to the extent to which plan assets have a different risk profilethan the pension obligation.