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Finally, after executing the mistake, whether the outcome is good or bad, you must analyze the process and determine if the results reinforced or changed your underlying assumptions.
The result of these calculations, referred to as the "expected benefit obligation," involves using the best estimate of the underlying assumptions, such as retirement age, employee turnover, mortality, the frequency and cost of future medical services, and an appropriate discount rate.
Those statements are made based on various underlying assumptions and are subject to numerous uncertainties and risks, including without limitation change orders and other modifications to contracts.