Business and Personal Finance Dictionary
# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
- PROJECTED BENEFIT OBLIGATION (PBO)
The actuarial present value of the pension benefits earned to date. In contrast to the ABO, measurement of the projected benefit obligation incorporates assumptions for future compensation rates for pay-related benefit plans. The PBO must be disclosed in a footnote to the financial statements.Back