Dorcel SA fully settles its defined benefit plan by transferring the obligations to an insurer. The cumulative remeasurements recognised so far in other comprehensive income are a loss of 1,240,000. The finance director proposes to reclassify that loss to profit or loss at the settlement date, so that the settlement result reflects the whole past of the plan (case facts). Write a short justification of the treatment of the cumulative remeasurements, distinguishing rule, case facts and conclusion.
JudgmentIntermediatePublished